FX.co ★ Forecast for EUR/USD on November 2, 2023

EUR/USD

So, yesterday's Federal Reserve meeting, including Fed Chair Jerome Powell's press conference, turned out to be entirely neutral. However, neutrality confirms the central bank's readiness for a softer stance. Markets did not initiate a false bearish move (as we expected) and have turned to play against the dollar. The euro fell just a few points short of the support of the price channel at 1.0510.

Now, the EUR/USD pair faces the challenge of overcoming the key resistance level at 1.0680 – the embedded line of the price channel and the MACD line. Help is on the way – employment data will be released tomorrow, which show signs of weakness. If today's initial jobless claims turn out worse than the 210,000 forecast, it will confirm such signs. The target level of 1.0640 becomes intermediate.

On the 4-hour chart, this morning, the price climbed above the MACD indicator line and the balance line (in red). The Marlin oscillator has entered the bullish territory. The uptrend is gaining strength with each bar.