FX pair saw lower levels of volatility in the previous week, closing below 1.18200.
Economic Calendar Analysis
Elevated levels of volatility may be expected as the primary scenario for this trading week. Both fundamental data releases from the United States and the conflict in the Middle East may impact volatility levels.
EUR/USD hourly chart analysis
The price is now trading below the 50, 100, and 200 simple moving averages. In addition, the 50 SMA has crossed below the 200 SMA, forming a "death cross," which typically signals a sustained bearish trend. After holding around the 1.1800 level for multiple sessions, the pair failed to maintain support and flushed below 1.1750, which has now become resistance. The price is currently testing support near 1.1710.If 1.1710 breaks, the next likely downside targets are 1.1680 and 1.1650. Overall, the recent consolidation appears to have been a distribution phase before this bearish expansion.
Hourly Chart
EUR/USD daily chart's review
EUR/USD is at an important turning point. After a strong rally earlier in 2026 that pushed price near 1.2100, the pair has entered a corrective phase. It is now forming lower highs and lower lows, signaling short-term bearish pressure within a broader bullish trend. The latest candle is a large bearish candle, showing strong selling momentum as price approaches key moving averages. The pair has already broken below the 50-day SMA, which suggests weakening short-term momentum. It is now testing the 100-day SMA around the 1.1680–1.1720 area, which is acting as immediate support. Below that, the 200-day SMA near 1.1550 remains the key level that defines the long-term bullish structure. As long as price stays above it, the broader trend remains intact.Key resistance sits at 1.1830, which was the most recent lower high, and then 1.1920, which must be broken to resume the larger uptrend. On the downside, 1.1600 is an important psychological and historical support level, followed by 1.1510, where a break would signal a deeper trend reversal.
Daily chart
Read More: Technical Analysis
Traders are going short
44.10% of traders are long while 55.90% are short, showing more bearish sentiment. The long positions have decreased by 11.80%, indicating traders are reducing their bullish bets.