Forex Analysis & Reviews: Forecast for EUR/USD on July 8, 2021

EUR/USD
Yesterday, the euro was declining during the day, in anticipation of the publication of the FOMC minutes and at the time it took place, the single currency practically already took into account the expected tonality in the price. There were no surprises, the Federal Reserve expects further improvement in the labor market and does not show any worries about inflation.

As a result, the convergence of the price with the Marlin oscillator on the daily chart continues to form (in the event of a stronger fall in the price, Marlin would go down more clearly). Nevertheless, the main scenario remains the development of the 1.1705 target level, and the slowness of the oscillator indicates the potential for a larger decline in the euro - to the second target level of 1.1640.

On a four-hour scale, the price reversed to the downside from the MACD indicator line. Here, too, there is still an opportunity to further the formation of convergence. But similar to the situation on the daily chart, the slowness of the oscillator towards a reversal preserves the potential for a deeper decline into the oversold zone.

Analysis are provided by InstaForex