EUR/USD choppy during Friday session

The EUR/USD pair went sideways overall during the week, going back and forth around the 1.2325 handle. I believe the 1.2350 level above is resistance, so I think it will be difficult to break above there and the short-term, but once we do, and I think we will eventually, the market probably goes looking towards the 1.24 level. I think that the market will continue to pay attention to the overall risk appetite of traders around the world, as the US dollar is considered to be the “safety currency.” I think that if stock markets can continue to rally, it’s likely that we will see this market go higher as well.

The 1.23 level underneath is supportive, just as the uptrend line is as well. That is an uptrend line that has been going strong for some time, and I think that eventually we will find buyers looking to push this market higher. The 1.24 level above will be a resistance barrier, and most certainly the 1.25 level will be after that. If we can break above the 1.25 level, the market is likely to go to the 1.32 level, which is the projected target based upon the breaking of a bullish flag on the weekly chart. If we break down below the uptrend line, I believe that the market will find plenty of support below at the 1.21 handle as it was previous resistance in a major sense and should invoke “market memory.”