EUR/USD Price Analysis – Feb 17, 2025
Daily Price Outlook
During Monday’s European session, the EUR/USD currency pair struggled to extend its gains, remaining under pressure near the 1.0481 level.
Despite the initial upside push, the pair could not break through the psychological resistance at 1.0500, as investors weighed several factors, including trade tensions and economic data.
The Eurozone is currently facing the threat of tariffs imposed by US President Donald Trump on imported cars, with plans to announce them around April 2. These tariffs are expected to hit Germany, Japan, and South Korea, leading exporters of vehicles to the US.
Although European Central Bank (ECB) policymaker Fabio Panetta downplayed the potential inflationary impact of these tariffs on the Eurozone, citing a limited or slightly negative effect, the uncertainty remains a concern for traders.
Panetta suggested that any weakening of the Euro, potentially driven by higher US tariffs and retaliation from Europe, would likely be counteracted by a global economic slowdown.
Moreover, the dovish monetary policy outlook from the ECB, with inflation falling below the 2% target as a primary concern, continues to keep the Euro under pressure.
US Dollar Faces Mixed Sentiment Amid Weak Retail Sales Data
On the US front, the US Dollar has shown some signs of weakness, trading near a two-month low, as market sentiment was affected by a poor retail sales report for January.
The US Dollar Index (DXY), which tracks the performance of the Greenback against a basket of six major currencies, slipped below 107.00, with a sharp sell-off following the release of the disappointing retail sales data. The data revealed a faster-than-expected decline of 0.9%, compared to an anticipated contraction of only 0.1%.
Despite these weak data points, the US Dollar’s outlook is not entirely bearish. The Federal Reserve’s hawkish stance remains a limiting factor for any significant declines in the USD. With speeches from several Federal Reserve officials this week, markets will look for guidance on the central bank’s monetary policy direction.
Looking forward, all eyes will be on the preliminary S&P Global Purchasing Managers Index (PMI) data for February, which could offer fresh insights into the US economy’s performance. Moreover, the ongoing geopolitical and economic developments surrounding tariffs and the ECB's stance on interest rates will continue to shape the EUR/USD outlook.
EUR/USD – Technical Analysis
The EUR/USD pair is trading at $1.04929, holding just above the pivot point at $1.04832, signaling a potential continuation of its modest bullish momentum. The immediate resistance stands at $1.05205, with a breakout above this level opening the door to $1.05563 and $1.05920.
On the downside, immediate support is found at $1.04453, followed by deeper support levels at $1.03920 and $1.03519. A failure to hold above $1.04453 could shift sentiment toward the bearish side, potentially leading to further losses.
The 50-day EMA at $1.04138 is currently acting as dynamic support, reinforcing the case for further upside if EUR/USD remains above this level. A buying opportunity is present above $1.04838, with a target set at $1.05406 and a stop-loss at $1.04457.
The short-term trend remains cautiously bullish, but traders should watch for a break above $1.05205, as this could accelerate gains toward the next key resistance levels.
Conversely, a drop below the pivot point of $1.04832 could expose the pair to renewed selling pressure, particularly if upcoming economic data or central bank commentary shifts investor sentiment.
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EUR/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- Bullish above $1.04838 – Targeting $1.05406, with a stop-loss at $1.04457.
- Resistance at $1.05205 – A breakout could push EUR/USD toward $1.05563 and $1.05920.
- Support at $1.04453 – A decline below this level may trigger a drop toward $1.03920 and $1.03519.
The EUR/USD pair is trading at $1.04929, holding just above the pivot point at $1.04832, signaling a potential continuation of its modest bullish momentum. The immediate resistance stands at $1.05205, with a breakout above this level opening the door to $1.05563 and $1.05920.
On the downside, immediate support is found at $1.04453, followed by deeper support levels at $1.03920 and $1.03519. A failure to hold above $1.04453 could shift sentiment toward the bearish side, potentially leading to further losses.
The 50-day EMA at $1.04138 is currently acting as dynamic support, reinforcing the case for further upside if EUR/USD remains above this level. A buying opportunity is present above $1.04838, with a target set at $1.05406 and a stop-loss at $1.04457.
The short-term trend remains cautiously bullish, but traders should watch for a break above $1.05205, as this could accelerate gains toward the next key resistance levels.
Conversely, a drop below the pivot point of $1.04832 could expose the pair to renewed selling pressure, particularly if upcoming economic data or central bank commentary shifts investor sentiment.
EUR/USD - Trade Ideas
Entry Price – Buy Above 1.04838
Take Profit – 1.05406
Stop Loss – 1.04457
Risk to Reward – 1: 1.4
Profit & Loss Per Standard Lot = +$568/ -$381
Profit & Loss Per Mini Lot = +$56/ -$38
EUR/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- Key Resistance: 1.04927 – Breakout could target 1.05326.
- Key Support: 1.03916 – A break below may accelerate declines.
- Outlook: Bullish above 1.04371; target set at 1.04939.
The EUR/USD pair is trading at 1.04560, down 0.01%, as the euro faces renewed pressure amid mixed macroeconomic signals. The pair continues to consolidate near its pivot point of 1.04369, suggesting a period of indecision for traders.
Technically, the pair remains above the 50-day EMA, currently at 1.03703, indicating underlying bullish potential. Immediate resistance is observed at 1.04927, with further targets at 1.05326 and 1.05696 if upward momentum strengthens.
A clear break above 1.04927 could attract fresh buying interest and shift the short-term outlook to bullish.
On the downside, immediate support lies at 1.03916, followed by 1.03452. A drop below these levels could expose the pair to further losses, with the next key support at 1.02963. The Relative Strength Index (RSI) remains neutral, hinting at possible volatility if the pair approaches the 1.04369 pivot.
Fundamentally, the euro remains vulnerable to external economic factors, including the Federal Reserve's cautious stance on rate adjustments and ongoing geopolitical uncertainties.
The latest PPI figures in the U.S. came in hotter than expected, reinforcing the Fed’s hawkish narrative and giving the dollar a slight edge. Meanwhile, investors are closely monitoring European inflation data due later this week, which could provide further direction.
EUR/USD - Trade Ideas
Entry Price – Buy Above 1.04371
Take Profit – 1.04939
Stop Loss – 1.03990
Risk to Reward – 1:1.49
Profit & Loss Per Standard Lot = +$568/ -$381
Profit & Loss Per Mini Lot = +$56/ -$38
EUR/USD Price Analysis – Feb 14, 2025
Daily Price Outlook
During the European trading session, the EUR/USD currency pair prolonged its upward trend and remained well bid around the 1.0480 level. The reason for this bullish rally could be tied to increased demand for riskier assets and a weaker US dollar.
Investors are feeling more optimistic due to multiple positive developments, including the delay in Trump's proposed tariffs and hopes for peace between Russia and Ukraine. This has reduced the demand for the safe-haven US dollar, making the euro more attractive.
Euro Gains Support but Faces Pressure from ECB Rate Cut Expectations
On the EUR front, the shared currency has been supported by positive developments, including optimism over a potential Russia-Ukraine truce. If the conflict ends, it could significantly improve the Eurozone’s energy supply and ease supply chain disruptions.
However, the European Commission has strongly opposed Trump's proposed reciprocal tariffs, calling them a step "in the wrong direction" and warning of an immediate and firm response. While the delay in these tariffs has provided temporary relief, trade tensions remain a risk for the Euro.
At the same time, expectations of further rate cuts by the European Central Bank (ECB) could put pressure on the Euro against the US dollar. Several ECB officials, including Croatian central bank Governor Boris Vujčić, have signaled that three more rate cuts this year seem reasonable.
The ECB already lowered rates by 25 basis points to 2.75% last month, and if more cuts happen, the widening rate gap with the Federal Reserve could weaken the Euro.
Despite these concerns, the Eurozone economy showed slight growth in Q4 2024, with GDP rising by 0.1% compared to initial estimates of 0%. Employment also grew by 0.1% quarter-on-quarter and 0.6% year-on-year. While these figures indicate slow but steady progress, traders remain cautious about the Euro’s outlook against the US dollar.
US Dollar Weakens on Trade and Peace Hopes, but Fed’s Stance Limits Losses
On the US front, the broad-based US dollar edged lower as safe-haven demand faded due to a delay in Trump's reciprocal tariffs and growing hopes for peace between Russia and Ukraine.
This led to a fresh four-week low in the US Dollar Index (DXY), which tracks the Greenback’s performance against major currencies, slipping below 107.00. The reduced demand for the USD has given the Euro some support, helping EUR/USD stay strong.
However, the US dollar's outlook is not entirely bearish, as traders expect the Federal Reserve (Fed) to keep interest rates high for an extended period.
The Fed's current rate range of 4.25%-4.50% is expected to remain unchanged for at least the next three meetings, with a 50% chance of a rate cut in July. Fed Chair Jerome Powell recently stated that the central bank is ready to keep rates high if inflation remains above the 2% target and the economy stays strong.
Looking ahead, investors are closely watching US Retail Sales data for January, which is set to be released at 13:30 GMT. Economists expect a 0.1% decline in sales after a 0.4% rise in December. If the data is weaker than expected, it could put more pressure on the US dollar and further support EUR/USD.
EUR/USD – Technical Analysis
The EUR/USD pair is trading at 1.04560, down 0.01%, as the euro faces renewed pressure amid mixed macroeconomic signals. The pair continues to consolidate near its pivot point of 1.04369, suggesting a period of indecision for traders.
Technically, the pair remains above the 50-day EMA, currently at 1.03703, indicating underlying bullish potential. Immediate resistance is observed at 1.04927, with further targets at 1.05326 and 1.05696 if upward momentum strengthens.
A clear break above 1.04927 could attract fresh buying interest and shift the short-term outlook to bullish.
On the downside, immediate support lies at 1.03916, followed by 1.03452. A drop below these levels could expose the pair to further losses, with the next key support at 1.02963. The Relative Strength Index (RSI) remains neutral, hinting at possible volatility if the pair approaches the 1.04369 pivot.
Fundamentally, the euro remains vulnerable to external economic factors, including the Federal Reserve's cautious stance on rate adjustments and ongoing geopolitical uncertainties.
The latest PPI figures in the U.S. came in hotter than expected, reinforcing the Fed’s hawkish narrative and giving the dollar a slight edge. Meanwhile, investors are closely monitoring European inflation data due later this week, which could provide further direction.
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EUR/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- EUR/USD remains bearish below the $1.03670 pivot level.
- Immediate resistance at $1.04093; breakout needed for bullish momentum.
- Support at $1.02997; break below could accelerate losses toward $1.02551.
EUR/USD is hovering around $1.03581, showing slight weakness as the U.S. dollar maintains its strength. The pair has slipped below its pivot point at $1.03670, reinforcing a short-term bearish bias.
Persistent concerns over Federal Reserve policy tightening and resilient U.S. economic data have kept pressure on the euro, limiting its upside potential.
On the technical side, the 50-day EMA at $1.03465 is acting as a dynamic support level. Immediate resistance stands at $1.04093, with a breakout above this level potentially opening the door to further gains toward $1.04497 and $1.04922. However, the current trend suggests that buyers remain cautious amid macroeconomic uncertainty.
Downside risks are evident, with $1.02997 serving as the first major support level. A sustained break below this level could accelerate losses toward $1.02551, followed by a deeper decline toward $1.02135.
Given the technical setup, traders may look for sell positions below $1.03674, targeting $1.03007, while maintaining a stop loss at $1.04115.
Looking ahead, market participants will be closely watching U.S. inflation data and any Federal Reserve commentary for signals on future rate policy.
A softer inflation reading could weaken the dollar and support the euro, while persistent inflationary pressures may reinforce the Fed’s hawkish stance, keeping EUR/USD under pressure.
EUR/USD - Trade Ideas
Entry Price – Sell Below 1.03674
Take Profit – 1.03007
Stop Loss – 1.04115
Risk to Reward – 1:1.5
Profit & Loss Per Standard Lot = +$667/ -$441
Profit & Loss Per Mini Lot = +$66/ -$44
EUR/USD Price Analysis – Feb 12, 2025
Daily Price Outlook
During the European trading session on Wednesday, the EUR/USD currency pair moved higher, reaching close to 1.0380 ahead of the US Consumer Price Index (CPI) data for January, set to be released at 13:30 GMT.
The Euro (EUR) continued to perform well, strengthening against most other major currencies. This rise came despite growing concerns about a potential trade war between the US and the Eurozone.
At the same time, tensions between the US and the European Union (EU) were rising. European Commission President Ursula von der Leyen warned that the EU would not stand by if President Donald Trump’s administration went ahead with imposing 25% tariffs on steel and aluminum imports.
EUR/USD Holds Firm Amid Trade War Concerns and ECB Rate Cut Expectations
On the EUR front, the shared currency has managed to hold its ground and continues to perform well against major peers, even as concerns over a trade war between the US and the Eurozone grow.
European Commission President Ursula von der Leyen warned that the EU would not stay silent if the US imposes 25% tariffs on steel and aluminum imports.
She made it clear that the EU is prepared to take action to protect its economic interests and could introduce countermeasures in response. This growing tension has added uncertainty to the market, but the Euro remains steady, keeping EUR/USD firm.
Former US President Donald Trump has already signed executive orders enforcing 25% tariffs on steel and aluminum imports without any exemptions, aiming to boost local production. He is also considering imposing similar tariffs on other countries he believes engage in unfair trade practices.
Market participants worry that the Eurozone could face additional pressure from reciprocal tariffs. Currently, the EU imposes a 10% tariff on US automobile imports, while US domestic cars entering the EU face a lower 2.5% import duty. These trade conflicts could weigh on EUR/USD movements in the coming days.
Meanwhile, the European Central Bank (ECB) is expected to announce more interest rate cuts this year, as inflation remains below its 2% target. ECB policymaker and Bank of France head Francois Villeroy de Galhau has warned that Trump’s trade policies could harm the economy in the long run.
Investors are also awaiting the European Commission’s economic growth forecasts, which will be released on Thursday and could influence EUR/USD trading.
EUR/USD – Technical Analysis
EUR/USD is hovering around $1.03581, showing slight weakness as the U.S. dollar maintains its strength. The pair has slipped below its pivot point at $1.03670, reinforcing a short-term bearish bias.
Persistent concerns over Federal Reserve policy tightening and resilient U.S. economic data have kept pressure on the euro, limiting its upside potential.
On the technical side, the 50-day EMA at $1.03465 is acting as a dynamic support level. Immediate resistance stands at $1.04093, with a breakout above this level potentially opening the door to further gains toward $1.04497 and $1.04922. However, the current trend suggests that buyers remain cautious amid macroeconomic uncertainty.
Downside risks are evident, with $1.02997 serving as the first major support level. A sustained break below this level could accelerate losses toward $1.02551, followed by a deeper decline toward $1.02135.
Given the technical setup, traders may look for sell positions below $1.03674, targeting $1.03007, while maintaining a stop loss at $1.04115.
Looking ahead, market participants will be closely watching U.S. inflation data and any Federal Reserve commentary for signals on future rate policy.
A softer inflation reading could weaken the dollar and support the euro, while persistent inflationary pressures may reinforce the Fed’s hawkish stance, keeping EUR/USD under pressure.
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EUR/USD Price Analysis – Feb 10, 2025
Daily Price Outlook
During the European trading session, the EUR/USD currency pair has been flashing green, staying in a bullish range around 1.0329, with an intraday high of 1.0337.
However, it opened lower near 1.0280 due to renewed concerns over tariffs from former US President Donald Trump, which pushed investors toward safe-haven assets like the US dollar.
Despite expectations that the Federal Reserve (Fed) will keep interest rates steady at 4.25%-4.50% for the rest of the year, the US dollar struggled to maintain its gains.
This allowed the EUR/USD pair to recover, as traders saw an opportunity to buy the euro at lower levels. The market remains focused on upcoming economic data and Fed policy signals, which will play a key role in determining the next move for the currency pair.
EUR/USD Gains as US Dollar Weakens Amid Fed Rate Outlook and Job Data
On the US front, the shared currency has been gaining strength as the US dollar weakens, even though the Federal Reserve (Fed) is expected to keep interest rates unchanged at 4.25%-4.50% for the rest of the year.
Experts at Macquarie now believe the Fed will not make any rate cuts in 2025, changing their previous forecast, which predicted a 25 basis points (bps) cut in March or May. This shift comes after the latest US Nonfarm Payrolls (NFP) report for January, which showed stronger job growth than initially expected.
On the data front, the NFP report revealed that the US added 143,000 jobs in January, lower than December’s revised figure of 307,000.
However, analysts noted that recent job data revisions suggest an even stronger labor market trend. Meanwhile, the US unemployment rate dropped slightly to 4% from the previous 4.1%, and wages grew faster than expected, with average hourly earnings increasing by 4.1% annually and 0.5% monthly.
All eyes will be on key US economic data. The Consumer Price Index (CPI) report for January, set for release on Wednesday, will be a major driver for the US dollar.
Meanwhile, investors will closely watch Fed Chair Jerome Powell’s testimony before Congress on Tuesday and Wednesday for insights into future monetary policy.
Euro Struggles Amid US Tariff Threats and ECB Rate Cut Expectations
On the EUR front, the Euro is under pressure due to recent developments in the US. President Trump threatened to impose 25% tariffs on steel and aluminum imports, targeting countries like Canada, Mexico, Brazil, Vietnam, and South Korea. The biggest impact will be on Canada, the largest exporter of aluminum to the US.
The fear is that these tariff actions could lead to reciprocal tariffs from the Eurozone, which already imposes a 10% tariff on US car imports, making it more challenging for the Euro to strengthen against the US dollar.
However, the Euro is already facing challenges due to economic slowdowns in the Eurozone and inflation rates falling short of the European Central Bank's (ECB) 2% target. Analysts at Macquarie have warned that US tariffs could escalate tensions in Europe, further weakening the Euro.
Furthermore, the ECB is expected to continue lowering interest rates, with some policymakers even suggesting the possibility of going below the neutral rate to stimulate the economy. The ECB's neutral rate is predicted to be between 1.75% and 2.25%, which adds to concerns for the Euro’s future performance.
EUR/USD – Technical Analysis
The EUR/USD pair is trading at $1.03197, down 0.01%, as it consolidates within a narrow range following recent volatility.
The 50-day Exponential Moving Average (EMA) at $1.03680 remains a key resistance level, capping upside momentum and reinforcing the broader bearish sentiment. The currency pair remains under pressure, with traders closely monitoring key support and resistance levels to gauge potential breakouts.
The pivot point at $1.02986 serves as an essential level—staying above it keeps bullish momentum in play, while a break below could invite increased selling pressure.
Immediate resistance stands at $1.03520, followed by $1.04092 and $1.04415. A breakout above these levels could signal a shift toward a stronger bullish trend, particularly if the U.S. dollar weakens amid shifting macroeconomic conditions.
On the downside, immediate support is at $1.02467, with further declines targeting $1.02097 and $1.01740. A drop below these levels could intensify selling pressure, reinforcing the prevailing downtrend. However, if EUR/USD maintains strength above $1.02986, buyers could regain control, pushing the pair higher in the short term.
Traders should watch for a potential long position above $1.02986, with a target of $1.03520 and a stop loss at $1.02652. A confirmed break above resistance could lead to extended gains, while a failure to hold support may trigger deeper losses.
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EUR/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- EUR/USD remains under pressure, with the 50-day EMA at $1.03680 acting as resistance.
- Breakout above $1.03520 could shift momentum, targeting $1.04092 and $1.04415.
- Failure to hold $1.02986 may trigger further downside toward $1.02467 and $1.02097.
The EUR/USD pair is trading at $1.03197, down 0.01%, as it consolidates within a narrow range following recent volatility.
The 50-day Exponential Moving Average (EMA) at $1.03680 remains a key resistance level, capping upside momentum and reinforcing the broader bearish sentiment. The currency pair remains under pressure, with traders closely monitoring key support and resistance levels to gauge potential breakouts.
The pivot point at $1.02986 serves as an essential level—staying above it keeps bullish momentum in play, while a break below could invite increased selling pressure.
Immediate resistance stands at $1.03520, followed by $1.04092 and $1.04415. A breakout above these levels could signal a shift toward a stronger bullish trend, particularly if the U.S. dollar weakens amid shifting macroeconomic conditions.
On the downside, immediate support is at $1.02467, with further declines targeting $1.02097 and $1.01740. A drop below these levels could intensify selling pressure, reinforcing the prevailing downtrend. However, if EUR/USD maintains strength above $1.02986, buyers could regain control, pushing the pair higher in the short term.
Traders should watch for a potential long position above $1.02986, with a target of $1.03520 and a stop loss at $1.02652. A confirmed break above resistance could lead to extended gains, while a failure to hold support may trigger deeper losses.
EUR/USD - Trade Ideas
Entry Price – Buy Above 1.02986
Take Profit – 1.03520
Stop Loss – 1.02652
Risk to Reward – 1:1.6
Profit & Loss Per Standard Lot = +$534/ -$334
Profit & Loss Per Mini Lot = +$53/ -$33
EUR/USD Price Analysis and Trade Forecast: Daily Trading Signal
Daily Price Outlook
- EUR/USD remains under pressure, struggling below the $1.03879 pivot.
- Support at $1.03383 is key; a break below could accelerate declines.
- 50-day EMA at $1.03549 confirms a bearish trend, limiting upside potential.
The EUR/USD pair is trading at $1.03746, down 0.08%, as the euro struggles to gain traction against a resilient U.S. dollar. Market sentiment remains cautious ahead of key economic data, with traders assessing the Federal Reserve’s rate trajectory and broader macroeconomic trends.
The pivot point at $1.03879 is a critical threshold for price action. If EUR/USD remains below this level, downside pressure is likely to persist. Immediate support is at $1.03383, with further declines potentially testing $1.02920 and $1.02467. A break below these levels would reinforce the bearish trend, increasing selling momentum.
On the upside, immediate resistance stands at $1.04339, followed by $1.04780 and $1.05222. If the pair manages to reclaim $1.03879, it could gain bullish traction, targeting these resistance levels. However, the broader trend remains weak, with selling pressure dominant below the pivot.
The 50-day EMA at $1.03549 suggests that EUR/USD is trading below key moving averages, reinforcing a bearish outlook. Short-term sentiment remains negative, with the pair struggling to gain upside momentum. If price action remains under $1.03879, further weakness is expected.
EUR/USD remains bearish below $1.03874, with a recommended sell entry at this level, targeting $1.03372 as a take-profit zone. A stop-loss at $1.04176 is advised to mitigate risk in case of a bullish reversal.
EUR/USD - Trade Ideas
Entry Price – Sell Below 1.03874
Take Profit – 1.03372
Stop Loss – 1.04176
Risk to Reward – 1:1.6
Profit & Loss Per Standard Lot = +$502/ -$302
Profit & Loss Per Mini Lot = +$50/ -$30
EUR/USD Price Analysis – Feb 07, 2025
Daily Price Outlook
EUR/USD is trading flat around 1.0400 in the European session ahead of the U.S. Nonfarm Payrolls (NFP) report at 13:30 GMT. The U.S. Dollar Index (DXY) is down 0.10% at 107.60.
Economists expect the U.S. to have added 170K jobs in January, down from 256K in December. The unemployment rate is expected to remain at 4.1%, which should keep the Federal Reserve (Fed) on hold for the near term. A strong jobs number will support the Fed’s stance, while a weak one could spark speculation on earlier rate cuts.
According to the CME FedWatch tool, traders are pricing in the first rate cut in June 2025. However, if the jobs report shows a softening labor market, expectations for a May rate cut could rise.
The Average Hourly Earnings data is also in focus, a key measure of wage growth and consumer spending power. Analysts predict year-over-year wage growth to slow to 3.8% from 3.9% in December, while monthly earnings to rise 0.3% in line with previous reports.
Eurozone Faces Uncertainty Amid U.S. Trade Threats
Despite EUR/USD being flat, the Euro is vulnerable to trade policy risks. Over the weekend, U.S. President Donald Trump said the Eurozone could face tariffs if they don’t buy enough American goods, escalating tensions between the two blocs.
Analysts at Macquarie noted that Trump didn’t specify the measures, but Europe is a “target-rich” zone for tariffs, especially with Germany and France in political turmoil. Any tariff escalation could hit Eurozone exports hard and growth.
Beyond trade risks, the Eurozone’s domestic economy is fragile. Concerns of stagnation have kept the European Central Bank (ECB) dovish. ECB board member Piero Cipolloni said on Thursday that there is “room to cut rates” and growth risks.
If Trump’s tariffs materialize, Cipolloni warned it could weaken the Eurozone economy. And if the U.S. imposes tariffs on Chinese goods, China could shift excess supply to European markets and create deflationary pressures.
EUR/USD – Technical Analysis
The EUR/USD pair is trading at $1.03746, down 0.08%, as the euro struggles to gain traction against a resilient U.S. dollar. Market sentiment remains cautious ahead of key economic data, with traders assessing the Federal Reserve’s rate trajectory and broader macroeconomic trends.
The pivot point at $1.03879 is a critical threshold for price action. If EUR/USD remains below this level, downside pressure is likely to persist. Immediate support is at $1.03383, with further declines potentially testing $1.02920 and $1.02467. A break below these levels would reinforce the bearish trend, increasing selling momentum.
On the upside, immediate resistance stands at $1.04339, followed by $1.04780 and $1.05222. If the pair manages to reclaim $1.03879, it could gain bullish traction, targeting these resistance levels. However, the broader trend remains weak, with selling pressure dominant below the pivot.
The 50-day EMA at $1.03549 suggests that EUR/USD is trading below key moving averages, reinforcing a bearish outlook. Short-term sentiment remains negative, with the pair struggling to gain upside momentum. If price action remains under $1.03879, further weakness is expected.
EUR/USD remains bearish below $1.03874, with a recommended sell entry at this level, targeting $1.03372 as a take-profit zone. A stop-loss at $1.04176 is advised to mitigate risk in case of a bullish reversal.
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