FX.co ★ Forecast for EUR/USD on April 8, 2021

EUR/USD

The euro tried to continue the corrective growth yesterday, while the published minutes of the Federal Reserve gently made it clear that the central bank has gradually shifted its mood on increasing the rate. A black candlestick with a high upper shadow was formed at the end of the day. It can be interpreted as a reversal pattern in the current situation, especially with the Marlin oscillator turning to the downside. After the price settles below the 23.6% Fibonacci level, an "underline" will be created, afterwards the lower Fibonacci level is reached in 80% of cases. For the current situation, this is the initial 0.0%, that is, the 1.1700 target level becomes relevant again. The price is waiting for two intermediate levels on this path, from which a slight correction is possible: 1.1810, 1.1745.

The upward trend continues on the H4 chart. The first condition for a reversal would be for the price to settle below the 1.1855 level, which corresponds to 23.6% Fibonacci. At the same time, the Marlin oscillator will return to the zone of negative values, which, in fact, will become the first signal for a decline.