Euro Dollar (EUR/USD), Forecast: Slow and Steady Recovery, New Target at 1.07/1.072

Meanwhile, today at the time of writing, the euro-dollar exchange rate is exactly 1.0652, while the US dollar index changes hands at 105.890 points.

Forecasts on the euro-dollar exchange rate

The euro-dollar exchange rate is still particularly distant from the 50 and 200 day EMAs which would mark its effective recovery into more markedly bullish territory. However, at the current target of 1.065, the possibility of an extension to the intermediate resistances of 1.07 and 1.072 could soon take shape.

The result would be a definitive interruption of the ongoing downtrend and the suspension of the more markedly bearish scenario, which until a few days ago even allowed us to hypothesize a drop below 1.06 for the Fibre.

Secondly, the recovery of the area between 1.07 and 1.072 could guarantee the opening of a bullish corridor which would facilitate the testing of subsequent resistances.

In this sense, however, it must be highlighted that a return above 1.08 would require the help of particularly favorable macro data for the Eurozone. With the US dollar index still not far from its recent highs, and a global context that does not favor the single European currency, I would recommend keeping bullish expectations within more reasonable values. For this reason, I would set the main bullish target for the euro-dollar exchange rate for the rest of April at 1.072/1.075.

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