On Monday, the euro failed to close the opening gap. The price did not consolidate below the daily MACD line, and a long lower shadow formed—a sign that the market intends to close the gap in the near future.
The price may rise further without signaling a stronger bullish rally and could reach the key level of 1.1779. A break above this level would open the way toward the upper boundary of the price channel around 1.1910.
However, the Marlin oscillator remains unwilling to return to positive territory, which suggests that the potential for a price rally is somewhat limited. As a result, the 1.1910 target may stay out of reach.
On the 4-hour chart, the weakness of the bulls suggests that the price may not break above the MACD resistance line (1.1740) on the first attempt. Likewise, the Marlin oscillator remains in the negative zone and is unlikely to support price growth before the end of the day.
We expect the price to increase slowly.
