On Monday, the euro broke through the target resistance level of 1.1692 with the upper shadow of a white daily candlestick. If the euro has chosen the range 1.1535–1.1692 as a consolidation zone ahead of the July Federal Reserve meeting, a pullback can be expected.
Even if the price attempts to expand this range and create some confusion, it will likely be restrained by the MACD line near the 1.1750 level. The signal line of the Marlin oscillator is turning downward from the zero neutral line — this supports the case for a reversal.
On the four-hour chart, the price is currently supported by the MACD line. The price needs to consolidate below this level (1.1679).
A breakout above yesterday's high would open the path toward the 1.1750 target. The Marlin oscillator has tested the upper boundary of its ascending channel and may now initiate a downward move, potentially breaking below both the channel's lower boundary and the threshold of the bearish territory.
