My big call for 2015 was that the EUR/USD would continue to move down and reach (or close to) parity. Well, as we look at the chart today it seems my prediction wasn't quite spot on. It was a tall order to start with anyways, but if it wasn't for the extended bond buying decision from Mr. Draghi ... I think we might have gotten there this year. But, at this point that's nor here nor there. Let's see if this might happen at all?
Looking at the charts, they're telling a clear story. We're obviously seeing a small consolidation period right now ... but don't forget that 90% of the "City" and "Wall Street" are still celebrating Christmas and New Year. So the lack of momentum isn;t at all surprising.
My call for 2016 is still that we'll be moving closer to a 1-to-1 parity in the EUR/USD . There is a ton of buying pressure around the 1.0810 handle ... but once we break the latest low around the 1.05 handle (early December, 2015) you have your major technical indication that we're moving down and completing our price move at 1.0076 (D) and possibly lower.
The FX can play games with you for a long time before you'll completely understand it. And I've been wrong before and I have no problem admitting when I'm wrong -- but this is my take and I'm confident this will happen. The only thing I cannot answer is: WHEN it will happen.
Have the best 2016 ever and please join our ever expanding trading family.