EUR/USD DTF Fundamental and Technical Analysis
Fundamental Outlook:
EUR/USD has experienced an upward move due to short-term positive sentiment. Optimism surrounding the European Union's fiscal policies and the European Central Bank's more dovish stance on interest rates have provided some support to the euro. Additionally, a recent weakness in the U.S. dollar, driven by concerns over the U.S. economic slowdown and disappointing job data, has contributed to the euro's recent strength.
However, the ongoing risk from new U.S. tariffs on European imports, escalating trade tensions, and concerns over global economic instability could weigh on the euro. The U.S. dollar remains a safe-haven asset, limiting further downside for EUR/USD in the long term.
Technical Outlook:
On the daily timeframe, EUR/USD is approaching a major key resistance level at 1.12500, where a double top has previously formed. This technical pattern strengthens our bearish bias for the pair. However, if price breaks above this key resistance at 1.12500, we would expect a continuation of the uptrend, suggesting that the euro remains in dominance. A breakout above this level would indicate further bullish momentum for EUR/USD.
In conclusion, the resistance at 1.12500 is crucial. If it holds, we could see a reversal; if broken, the euro could continue to dominate, pushing EUR/USD higher.
📌 Disclaimer:
This analysis is for informational and educational purposes only and should not be considered financial advice. Trading involves substantial risk, and past performance is not indicative of future results. Always conduct your own research and consult with a financial professional before making any investment decisions.
Fundamental Outlook:
EUR/USD has experienced an upward move due to short-term positive sentiment. Optimism surrounding the European Union's fiscal policies and the European Central Bank's more dovish stance on interest rates have provided some support to the euro. Additionally, a recent weakness in the U.S. dollar, driven by concerns over the U.S. economic slowdown and disappointing job data, has contributed to the euro's recent strength.
However, the ongoing risk from new U.S. tariffs on European imports, escalating trade tensions, and concerns over global economic instability could weigh on the euro. The U.S. dollar remains a safe-haven asset, limiting further downside for EUR/USD in the long term.
Technical Outlook:
On the daily timeframe, EUR/USD is approaching a major key resistance level at 1.12500, where a double top has previously formed. This technical pattern strengthens our bearish bias for the pair. However, if price breaks above this key resistance at 1.12500, we would expect a continuation of the uptrend, suggesting that the euro remains in dominance. A breakout above this level would indicate further bullish momentum for EUR/USD.
In conclusion, the resistance at 1.12500 is crucial. If it holds, we could see a reversal; if broken, the euro could continue to dominate, pushing EUR/USD higher.
📌 Disclaimer:
This analysis is for informational and educational purposes only and should not be considered financial advice. Trading involves substantial risk, and past performance is not indicative of future results. Always conduct your own research and consult with a financial professional before making any investment decisions.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.