EUR/USD Mid-Day Outlook

Daily pivots for the EUR/USD pair are set at (S1) 1.0311, (P) 1.0373, and (R1) 1.0478. Currently, the intraday bias for the EUR/USD remains neutral.

As the resistance at 1.0435 holds firm, a further decline in the currency pair seems likely. If the price breaks below 1.0176, this will signal a continuation of the decline that began from the high of 1.1213. Conversely, if the price decisively breaks past 1.0435, it would indicate a potential short-term bottom is forming. This could shift the bias back toward the upside, targeting strong resistance at the 38.2% retracement level of the drop from 1.1213 to 1.0176, which is located at 1.0572.

From a broader perspective, the downward movement from the recent high of 1.1274 (established in 2023) could signify either a second leg of a corrective pattern stemming from the low of 0.9534 (recorded in 2022) or represent a new downward phase within a long-term bearish trend. In either scenario, a sustained drop below the 61.8% retracement level, which is at 1.0199, will open the pathway for a move back toward the 0.9534 low.

At present, the outlook remains bearish as long as the price remains below the resistance level of 1.0629, even if we see a strong rebound in the market.

EUR/USD, Trading, Market