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Forecast for EUR/USD for June 20, 2019

EUR/USD

Following yesterday's Federal Reserve meeting, the Open Market Committee made it clear that the first rate cut could be closer to the end of the year, or even in 2020. The decision turned out to be as soft as possible, however, the markets, apparently tuned in to purchases and emotionally bought out counterdollar currencies. The euro rose by 60 points in the moment and closed the day with an increase of 32 points. Today, in the Asian session, the euro adds more than 40 points and exceeded the correction level of 50.0% from a June 7-18 low. Furthermore, prices were higher than the MACD line on H4. Consolidating the price above the MACD line may extend growth to the Fibonacci level of 61.8% (1.1284) and further to 76.4% at a price of 1.1308. On the daily chart, the price is above the indicator lines while the Marlin oscillator is in the growth zone.

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The nature of trading pointed to a struggle in the range of 1.1220/50, which does not hint so much of an investment interest in buying the euro. As a result, the market has run out of power to move in any direction. We are waiting for the accumulation of market forces in the range of 1.1215-1.1284. The lower limit of the range is determined by the level of 100.0% Fibonacci on the daily scale. Consolidating below it will resume the medium-term declining interest of market players.

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