Usman Salis
The EUR/USD pair is showing tentative signs of stability after its recent slide. EUR/USD is currently consolidating on the 4-hour timeframe, holding just above a critical support zone. The big question now is whether this pause will turn into a proper recovery or if sellers will step back in and push the pair lower. The market is essentially at a decision point, and the next few sessions could reveal which way momentum tips.
Technical Picture
Looking at the 4-hour chart, trader Lemayian points out that EUR/USD needs to stay above its bullish price range to keep recovery hopes alive. The setup shows a few important levels worth watching.
There's solid support sitting around 1.1550–1.1570, marked by that lower boundary where buyers have been defending the line. Price did dip briefly but bounced back pretty quickly, suggesting there's decent demand in that zone. The consolidation area itself is key - as long as EUR/USD trades above this range, the bulls still have a shot. On the upside, resistance near 1.1850 is the level to beat. If the pair can climb toward that ceiling, it would signal stronger conviction from buyers and potentially open the door to further gains.
What's Moving the Pair
The dollar's been holding firm lately, propped up by solid Treasury yields and some safe-haven buying. But if we start seeing softer inflation prints or the Fed hints at easing up, that could take some wind out of the dollar's sails and give the euro room to run. Over in Europe, the ECB is still being pretty cautious with its policy decisions, but any hawkish surprises could definitely give EUR/USD a boost. Beyond central banks, broader market sentiment matters too - things like risk appetite, energy prices, and trade flows all play into euro demand.
What to Watch
If EUR/USD can hold above that 1.1570 support, the path opens up toward 1.1700 first, with 1.1850 as the bigger target if momentum really picks up. But if the pair slips back below the support zone, we could see a drop toward 1.1500 or lower as sellers regain control.
Usman Salis
