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Forecast for EUR/USD on August 20, 2020

EUR/USD

It is very likely that the euro's exit from the 1.1712-1.1905 range on Wednesday and Thursday turned out to be false. The price's fall from yesterday overshadowed the previous two-day growth. According to Marlin, a double divergence formed with the price, more precisely, two divergences in a row - a flatter one and immediately after it a steeper one, and a double one.

analytics5f3df22711661.jpg

Now the price will try to get out of the specified range downwards with a further target of reaching the 1.1620 level. The MACD line is approaching it to strengthen this level. Accordingly, settling the price below it (1.1620) triggers a scenario of a medium-term fall in the euro.

analytics5f3df22a359db.jpg

The price settled under the MACD line on the four-chart. The Marlin oscillator is in its lower half, in a downward trend zone. We are waiting for the price to go down from the 1.1712-1.1905 range within two or three days.

Taking into account that the 1.1712-1.1905 accumulation range in its current form is a free-roaming range, short-term exits of the price above the MACD line are possible. The approximate area is highlighted in a bluish color.

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