FX.co ★ Forecast for EUR/USD on May 20, 2024

EUR/USD

On Friday, the euro tried a downward move as part of the continuation of the correction from May 16, but closer to the end of the day, it sharply turned upwards, eventually closing the day near the opening level. The upward trend continues this morning. On the daily chart, the signal line of the Marlin oscillator is slowly turning upwards.

As we anticipated earlier, the euro will try to reach the nearest target level of 1.0905 before a decisive bearish reversal. If the price consolidates above this level, the upward trend may continue towards 1.0943, the level of the March 21 peak. On the 4-hour chart, the signal line of the Marlin oscillator has turned upwards, with a small false move forming just below the zero line.

This indicates a continuation of the upward trend in the short term. If the price manages to consolidate below the MACD line, below the 1.0839 mark, there may be a breakthrough towards the support at 1.0796. If the price consolidates below 1.0796, which would also correspond to a consolidation below the MACD line on the daily chart, it would indicate a medium-term downward trend.