FX.co ★ Forecast for EUR/USD on March 12, 2020

EUR/USD

The euro has been staying near Tuesday's close for the past two days, amid the pending decision of the ECB's monetary policy. Markets are confident that the rate will be lowered by 0.1%, but there are various assumptions about additional measures. Such easing measures may include more lenient conditions for providing long-term liquidity (TLTRO), an increase in the own limit for repurchasing government bonds, and other quantitative easing (QE) measures.

The goal of pulling down the euro is the MACD line on the daily scale (1.1090). Overcoming the support opens the second target along the price channel in the area of 1.0975.

Yesterday's decline was stopped by the MACD line on the four-hour chart. Accordingly, the euro's departure under this support (1.1260) will launch a new wave of downward movement.