EUR/USD weekly: dollar tests support at 1.1500, 2026-06-08
Where EUR/USD closed the week
EUR/USD opened the week at 1.1521 and closed at 1.1563, marking a 41-pip gain or 0.36% advance. The pair reached a weekly high of 1.1589 on Thursday before pulling back slightly into Friday's close. The week's low came early Monday at 1.1499, establishing immediate support just below the psychological 1.1500 level.
What moved price
Thursday's surge to 1.1589 coincided with reports that the US plans to reduce fighter jets and warships allocated to NATO in Europe. The geopolitical uncertainty weighed on dollar sentiment, allowing EUR/USD to extend its weekly gains despite thin trading conditions on Friday.
The People's Bank of China setting a stronger-than-expected yuan reference rate added to broad dollar weakness. Risk appetite improved across European sessions as traders digested the steadier mood following earlier volatility.
The week ahead
No major economic events are scheduled in the data bundle for the upcoming week. Without high-impact releases to drive volatility, EUR/USD price action will likely depend on broader risk sentiment and any developments in geopolitical tensions. Technical levels and positioning flows may play a larger role in the absence of fundamental catalysts.
Positioning
LHFX client positioning shows 51.6% of traders are long EUR/USD while 48.4% hold short positions. This near-balanced split suggests no strong directional conviction among retail traders. When positioning is this evenly distributed, price can move sharply in either direction as stop losses cluster on both sides of the market.
Levels to watch
The weekly high at 1.1589 serves as immediate resistance. If EUR/USD closes above this level, the next obvious target would be the 1.1600 psychological level. Support sits at the weekly low of 1.1499. A break below would put focus back on 1.1450, while holding above keeps the upward momentum intact.
Byline: LHFX Research
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