Euro Dollar Forecast Updated: EUR-USD Looking Good for Higher Prices

Euro Rate Today, Outlook and Forecast: The euro (Currency:EUR) remains under pressure on Thursday with the past 24 hours having belonged to the US dollar.

With no major Eurozone economic data released, the sell-off was driven entirely by demand for U.S. dollars.

Traders should expect this to remain the case over the next 24 hours because the market's appetite for dollars will most surely overshadow the German producer price report.

Nevertheless, technically speaking, the case for further gains in EUR-USD can be found in the instrument's chart.

In their recent forecast note on the euro dollar rate, analysts at FuturesTechs say they are predicting further rises in the rate:

• Short Term Trend: Bullish
• Medium Trend: Bullish
• Candlestick Chart says: We have missed getting long by a few ticks for two sessions in a row now. We’ll move our bid up.
• Profile Charts say: CHVN is 1.3860.
• Summary: Looking good for higher prices but we’re not exactly rushing higher!
• Trade Idea: Buy above 1.3880, stop below 1.3845, targets 1.3960 then 1.4160. Medium Conviction “Keeper”. Time Stamp: 7.20am

Confirming that the technical setup behind the euro are bullish at present is the team at Swissquote Bank who say technicals are steadily bullish.

"EUR will be subject to news/data from UK and US today. Option bids in EURUSD are placed above 1.3880/1.3900 region for today’s expiry, offers are seen below 1.3870. The key short term supports are placed at 1.3811 (21-dma) then 1.3773 (Feb resistance to turn support)," says a note on the matter.

Global factors favour EUR stability

A big issue at present for EUR valuations is Russia, the Crimea and Ukraine. With events easing back for now we note this is a broadly pro-EUR occurrence.

"The situation in Russia/Ukraine remains fluid, and any indications of an escalation in tensions will weigh on the EUR. But in the absence of military action, we suspect EUR/USD downside will be limited for now. With no major releases on the Eurozone calendar today, the USD may have a greater bearing on EUR/USD with the FOMC announcement due this evening," say Lloyds Bank.