As this trading week is entering weekend break, FX pair has seen higher overall volatility and has moved below 1.16400 price level.
Economic Calendar Analysis
Although there is no significant fundamental data that could impact the outlook for FX prices, medium-level volatility may be taken into consideration for next trading week, as the newly appointed Fed chair and their future policy approach could be reassessed by the market.
EUR/USD hourly chart analysis
Hourly view shows a market entering an extended, oversold selling climax right at major historical support. The shrinking candle bodies at the 1.16274 line signal seller exhaustion, while the flattening MACD, histogram hints at a subtle loss of downward velocity. This combination of a stalling price and a stabilizing indicator at a major daily floor sets the stage for a potential short-covering squeeze if sellers fail to force an immediate breakout.Hourly Chart
EUR/USD daily chart's review
EUR/USD daily chart exhibits a corrective, downward bias after failing to sustain a recovery momentum below the major structural resistance level at 1.18233. The price has recently carved out a lower high in early May and is currently accelerating downward, threatening to break beneath the near-term support represented by the red dashed line around 1.16293.If the current daily candle closes decisively below 1.16293, it will likely validate a continuation toward the key horizontal support levels plotted at 1.15050 and, failing that, the deeper structural floor clustered between 1.14000 and 1.13870.
Daily chart
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Traders are long
The sentiment data for EUR/USD reveals a slight move towards bullishness.