EUR/USD Price Forecast: Cautious optimism maintains the pair afloat
Premium|Take advantage of 50% OFF on your first month.
Start your subscription and get access to all our original articles.
You have reached your limit of 5 free articles for this month.
Get all exclusive analysis, access our analysis and get Gold and signals alerts
Elevate your trading Journey.
UPGRADEEUR/USD Current price: 1.1576
- Several Federal Reserve officials will offer speeches throughout the American session.
- Market players are cautiously optimistic amid hopes the US government will soon reopen.
- The EUR/USD is neutral to bullish in the near term, lacking directional momentum.
Uneventful trading persists on Wednesday, with EUR/USD stuck around 1.1570 early in the American session, as market participants patiently await the resolution of the United States (US) government shutdown. The House or Representatives is expected to pass the funding bill approved by the Senate today, then forward it to President Donald Trump for signature.
Other than that, multiple Federal Reserve (Fed) officials will be on the wires in the upcoming hours, and investors will be attentive to any shift in their tone. Recent US discouraging employment-related data has revived speculation of a forthcoming interest rate cut when the central bank meets in December, after Chair Jerome Powell wiped them off following the October meeting.
Finally, it’s worth adding that the market’s sentiment remains positive: most Asian and European indexes spent the day in the green, while Wall Street hovers around its weekly highs at the time of writing, albeit without follow-through.
EUR/USD short-term technical outlook
The EUR/USD trades little changed at 1.1576, with a limited downward scope in the 4-hour chart. The 20-period Simple Moving Average (SMA) advances around 1.156 just below the 100 SMA at 1.1575, both providing a near-term floor. On the contrary, the 200-period SMA at 1.1619 acts as dynamic support. The Momentum indicator cools within positive levels, reflecting waning upside pressure. Finally, the Relative Strength Index (RSI) at 55.9 also eases, aligning with a neutral stance. A decisive close above the 200-period SMA would open room for an extension higher, whereas a drop back below the 100- and 20-period SMAs would revive downside risk within the longer-term bearish slope.
In the daily chart, a bearish 20-day Simple Moving Average (SMA) caps advances around the daily high, while slopes lower beneath the 100-day SMA, the latter at 1.1665. Meanwhile, the Momentum heads nowhere just below its midline, while the RSI indicator aims marginally lower at around 46, consistent with a mild negative bias.
(The technical analysis of this story was written with the help of an AI tool)
EUR/USD Current price: 1.1576
- Several Federal Reserve officials will offer speeches throughout the American session.
- Market players are cautiously optimistic amid hopes the US government will soon reopen.
- The EUR/USD is neutral to bullish in the near term, lacking directional momentum.
Uneventful trading persists on Wednesday, with EUR/USD stuck around 1.1570 early in the American session, as market participants patiently await the resolution of the United States (US) government shutdown. The House or Representatives is expected to pass the funding bill approved by the Senate today, then forward it to President Donald Trump for signature.
Other than that, multiple Federal Reserve (Fed) officials will be on the wires in the upcoming hours, and investors will be attentive to any shift in their tone. Recent US discouraging employment-related data has revived speculation of a forthcoming interest rate cut when the central bank meets in December, after Chair Jerome Powell wiped them off following the October meeting.
Finally, it’s worth adding that the market’s sentiment remains positive: most Asian and European indexes spent the day in the green, while Wall Street hovers around its weekly highs at the time of writing, albeit without follow-through.
EUR/USD short-term technical outlook
The EUR/USD trades little changed at 1.1576, with a limited downward scope in the 4-hour chart. The 20-period Simple Moving Average (SMA) advances around 1.156 just below the 100 SMA at 1.1575, both providing a near-term floor. On the contrary, the 200-period SMA at 1.1619 acts as dynamic support. The Momentum indicator cools within positive levels, reflecting waning upside pressure. Finally, the Relative Strength Index (RSI) at 55.9 also eases, aligning with a neutral stance. A decisive close above the 200-period SMA would open room for an extension higher, whereas a drop back below the 100- and 20-period SMAs would revive downside risk within the longer-term bearish slope.
In the daily chart, a bearish 20-day Simple Moving Average (SMA) caps advances around the daily high, while slopes lower beneath the 100-day SMA, the latter at 1.1665. Meanwhile, the Momentum heads nowhere just below its midline, while the RSI indicator aims marginally lower at around 46, consistent with a mild negative bias.
(The technical analysis of this story was written with the help of an AI tool)
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.