EUR/USD Current price: 1.0882
- US President Joe Biden stepped down from the presidential race.
- Financial markets stand cautious, but unable to find a directional strength.
- EUR/USD pressures its recent lows, downward corrective slide losing steam.
The EUR/USD pair trades uneventfully around the 1.0880 level, little changed from Friday’s close. Financial markets showed little reaction to weekend political news, as United States (US) President Joe Biden announced through a letter posted in X that he is stepping down from the presidential race. He also endorsed Vice-President Kamala Harris to lead the Democratic party into victory against Republican Donald Trump.
The US Dollar shed some ground at the weekly opening but ground higher afterwards, heading into the American opening with a firmer tone. Meanwhile, the macroeconomic calendar has little to offer. The US released the June Chicago Fed National Activity Index, which resulted in 0.05, down from the 0.23 posted in the previous month.
Other than that, European stocks trade with a positive tone, although Wall Street is set to open where it left off on Friday.
EUR/USD short-term technical outlook
From a technical point of view, the daily chart for the EUR/USD pair suggests the corrective decline is losing strength. Technical indicators retreated from overbought readings but turning flat well above their midlines. Furthermore, the pair remains well above all its moving averages, with a bullish 20 Simple Moving Average (SMA) heading north above directionless 100 and 200 SMAs.
In the near term, and according to the 4-hour chart, the risk skews to the downside. The 20 SMA gains downward traction above the current level while technical indicators consolidate within negative levels without signs of downward exhaustion. Finally, the 100 SMA maintains its bullish slope below the current level, providing dynamic support in the 1.0820 price zone.
Support levels: 1.0865 1.0820 1.0770
Resistance levels: 1.0910 1.0945 1.0990
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
EUR/USD tumbles toward 1.1450 as MIddle East tensions linger
EUR/USD has come under renewed selling pressure, testing 1.1450 in the European session on Monday. The renewed US Dollar buying, amid deepening Middle East conflict, and mixed PMI data releases from Germany and the Eurozone weigh on the pair as the focus shifts to US data and central bank talks.
Could Iran block the Strait of Hormuz? Why Oil is on edge after US strikes
As the Israel-Iran conflict reaches new heights, an old threat is coming back to haunt the markets: that of the closure of the Strait of Hormuz. This narrow arm of the sea in the Persian Gulf, wedged between Iran to the north and the United Arab Emirates and Oman to the south, is much more than a simple sea passage.
Gold price hangs near daily low amid modest USD strength; downside seems cushioned
Gold price retains its negative bias through the first half of the European session on Monday and currently trades near the lower end of its daily range. The US attack on Iran’s nuclear facilities on Sunday raises the risk of a broader conflict in the Middle East and benefits the US Dollar's status as the global reserve currency.
Five fundamentals for the week: World anxiously awaits Iran's response Premium
The Middle East remains in the spotlight after a turbulent weekend. Fed Chair Jerome Powell faces lawmakers and may shed more light on the central bank's thinking, and a key inflation figure is expected later to promise a strong end to the week.
GBP/USD holds recovery above 1.3400, with eyes on UK PMI, Middle East woes
GBP/USD is holding its rebound above 1.3400 in the European session on Monday. The fears that Iran would retaliate against US attacks on its nuclear sites continue to support the safe-haven US Dollar. Investors await the June preliminary PMI readings from the UK and the US for fresh trading directives.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.