Euro / U.S. Dollar
Short
Updated

EURUSD – Rejected at Lower High, Bearish Bias Builds

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EURUSD has printed a clear lower high near the 1.16100 resistance zone, failing to reclaim the previous swing high. Price is now retreating, approaching the dynamic trendline support intersecting with FVG zones around 1.14650. The structure suggests potential for a short-term bounce—but as long as price remains below the 1.15860–1.16100 resistance zone, the broader setup leans bearish.

On the macro side, the ECB’s dovish tilt—hinting at rate cuts due to subdued inflation—has weighed heavily on the euro. Meanwhile, the Fed maintains its hawkish stance, reinforcing dollar strength, especially amid renewed geopolitical tensions that are pushing USD further as a safe haven.

If the ascending trendline fails to hold, we may see an accelerated decline toward the 1.13800 area. Watch for a failed retest of 1.15860 as confirmation for short entries.
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