FX.co ★ Forecast for EUR/USD on May 26, 2023

EUR/USD:

The euro continues to decline in the medium or even long-term perspective. Currently, the price has confirmed its position below the embedded line of the descending price channel and has broken through the support level of 1.0736.

There is a small and weak convergence between the price and the Marlin oscillator, which maintains the possibility of forming either a correction or consolidation near the nearest resistance levels. In this state, the market will be waiting for a decision from the US authorities regarding the national debt. Later on, we may see the pair move towards the target of 1.0625, with the following target at 1.0497.

On the four-hour chart, the double convergence may finally break (the break occurred yesterday). However, as long as it exists, there is a possibility of a correction towards the MACD line around the 1.0770 mark. We currently have a downtrend.