Currency pair Euro/Dollar EUR/USD continues to move as part of the correction and the formation of a large reversal pattern ”Head and Shoulders”. Moving averages indicate a short-term bullish trend for the pair. Prices broke through the area between the signal lines upward, which indicates pressure from buyers of the European currency and a potential continuation of the growth of quotations already from current levels. At the time of the publication of the forecast, the Euro/US Dollar rate is 1.2078. As part of the Forex forecast for April 29, 2021, we should expect an attempt to develop a bullish correction and a test of the resistance level, which is located on the pair near the area of 1.2125. Further, a rebound down and the continuation of the fall of the Euro/Dollar currency pair. The potential target of such a movement on FOREX is the area below the level of 1.1425.
EUR/USD Forecast Euro Dollar April 29, 2021
An additional signal in favor of falling EUR/USD quotes will be a test of the downward trend line. The second signal will be a rebound from the resistance line on the relative strength index (RSI). Cancellation of the option of falling quotations of the Euro/Dollar currency pair will be a strong growth and a breakdown of the level of 1.2225. This will indicate a breakdown of the upper model and a continued rise to the area at the level of 1.2385. Expect confirmation of a fall in the EUR/USD currency pair with a breakdown of the support level and closing prices below 1.1755, which will indicate a breakdown of the “Neckline” of the “Head and Shoulders” reversal pattern.
Among the important news from Europe and the United States that may have an impact on the EUR/USD pair, it is worth highlighting: United States Gross Domestic Product (GDP) q/q, United States Pending Home Sales m/m.
EUR/USD Forecast Euro Dollar April 29, 2021 assumes the development of a correction and a test of the resistance area near the level of 1.2125. Where can we expect a rebound and an attempt to continue the pair’s fall to the area below the level of 1.1425. A test of the trend line on the relative strength index (RSI) will be in favor of the fall of the currency pair. Cancellation of the option to reduce the EUR/USD pair will be a strong growth in quotations and a breakdown of the level of 1.2225. This will indicate a breakdown of the resistance area and a continuation of the rise of the currency pair on Forex to the area above the level of 1.2385.
