Euro / U.S. Dollar
Long
Updated

EURUSD – recovery aiming to test resistance zone

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The euro is benefiting from the weakening pressure on the US dollar as the market expects the Fed to loosen its monetary policy, combined with positive signals of trade cooperation between the US and Europe. This risk-on sentiment is supporting the short-term uptrend of EUR/USD.

The price is moving within a short-term bullish structure and is approaching the resistance zone around 1.1770, after rebounding strongly from the support area near 1.1630. Recent pullbacks have been shallow and quickly absorbed, indicating that buyers still hold the upper hand.

Base scenario: EUR/USD may consolidate in a tight range before breaking above 1.1770, opening room for further upside. As long as the 1.1630 support holds, any pullback can be seen as an opportunity to add long positions in line with the prevailing trend.
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