FX.co ★ Forecast for EUR/USD on January 16, 2023

On Friday, the euro settled above the target range of 1.0758/87. Now, with the support of the Marlin oscillator, it is rising in the green zone, the price moves to the target level of 1.0990 - to the Fibonacci reaction level of 314.0% from the first growth branch on September 28-October 4.

From this level, we expect a renewed divergence to form and the price to reverse into a medium-term decline.

On the four-hour chart, the price turned up from the upper limit of the range (1.0787), showing the strength against the earlier convergence.

Perhaps the market is preparing for a double convergence at 1.0870, where it could settle before rising further. Consolidation could be based on today's US holiday.