FX.co ★ Forecast for EUR/USD on July 22, 2024

On Friday, the euro consolidated below the resistance level of 1.0905, confirming the divergence with the Marlin oscillator. The path to the target support at 1.0788 is now open. If the price can settle below this level, the euro will be on track for a decline in the medium term.

For now, the decline appears to be a deep correction to the last leg of growth from June 26 (61.8%). A decrease below Friday's low (1.0876) will extend the local movement to 1.0840 in the area of the 38.2% correction.

On the 4-hour chart, the price has consolidated below the balance indicator line, with Marlin settling in the downward trend territory. The resistance at 1.0905 appears strong, with the price consolidating below it, similar to July 12-16, but now to break downwards.