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Forecast for EUR/USD on February 22, 2019

EUR/USD

Yesterday's technical picture on the euro exactly repeated the development of the situation, which was on Wednesday - the price reached the Krusenstern line of the daily scale and returned below the trend line of the price channel. Just like on Wednesday, the closing of the day took place near the opening level. But one more nuance was added: on the four-hour chart, the Marlin oscillator signal line penetrated the negative area, which over the last week was the first sign of a possible price reversal. To enhance the signal, the price should be consolidated under the Krusenstern line on H4 - below 1.1312.

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Is there a risk of the euro's continued growth? It remains. Since the penetration of the Marlin line into the negative area on H4 is very small, only -0,0004 units, this value is even less than the fluctuation range, that is, the price increase coincides with the reversal of the Marlin signal line from the zero line almost exactly - the indicator border separating the growth zone from the fall zone, is considered a strong support/resistance level. But growth in a practical manner requires a consolidation of the price above the Krusenstern line - 1.1365. The goal is not high - 1.1407 - the correction level is 61.8%.

In case the price consolidates below 1.1312, we expect a downward development with the target of 1.1215.

The material has been provided by InstaForex Company - www.instaforex.com