EUR/USD
Following the outcome of yesterday's Federal Reserve meeting, investors learned that FOMC members expect a triple rate cut in the coming year. The US Dollar Index fell by 0.85%, the S&P 500 rose by 1.37%, and the yield on 5-year US government bonds dropped from 4.23% to 3.98%. The euro rose by 80 pips by the end of the day, approaching the target level of 1.0905.
On the daily chart, the signal line of the Marlin oscillator also came very close to the border of the uptrend territory. Ahead of the European Central Bank meeting, we believe that the euro will experience a small consolidation before resistance, and then it will continue to rise since the ECB has more reasons to maintain a slightly tighter rhetoric. The target for the next few days is 1.1076 – the peak on April 14.
On the 4-hour chart, the price has forcefully passed through the nearest indicator and graphical resistances, settled above them, and is now preparing to overcome the next target levels. Considering the sharp rise in the Marlin oscillator, a correction is possible before the ECB meeting.