EUR / USD - European currency growth continues, the pair tests the levels of 1.23-1.2340

On the market of EUR / USD there were no special changes over the weekend. Last Friday, USD dollar weakened against the background of weak data on the US labor market. In addition, EUR / USD reversed in the region of the lower border of the sideway range.

Nevertheless, the pair finished the second week in the red, but the last candle, unlike the previous one, has a long low shadow. This indicates a continuing trend of sideway trading and uncertainty regarding the choice of the further direction of EUR / USD pair.

The pair is trading in the range 1.2555-1.2240 and so far doesn’t indicate any intentions to leave it. Only an exit from this range will indicate the further direction of the main currency pair, which, most likely, will become medium-term.

As for the immediate prospects for a single European currency, our forecast was fully justified. Today, the pair is testing the tactical zone -1.23-1.2350.

 For the euro, the closest resistance zone is the old and already familiar levels of $ 1.2300- $ 1.2340. If there is a quick enough breakthrough of $ 1.2300- $ 1.2340 and consolidation above, we will see the pair gain to the upper limit of the $ 1.2510 range.

If the market do not get through higher, then the decline will continue to zone $1.2208-$1.2180.

Trading recommendations - longs at consolidation above 1.2340