EUR/USD Price Forecast: Bulls paused, sellers nowhere to be found

EUR/USD Current price: 1.1592

• Markets stabilised after becoming more confident about the Middle East ceasefire.
• Federal Reserve Chair Powell will testify before Congress for a second consecutive day.
• The EUR/USD eases from its recent peaks, but bulls remain in control.

The EUR/USD pair trades just below the 1.1600 mark, giving up some of its recent gains as financial markets seem more stable on Wednesday, while maintaining the upbeat mood. The Middle East ceasefire remains in place, supporting the market’s optimism.

Other than that, speculative interest keeps its eyes on central banks’ officials and their assessments of the current and future economic situation. Federal Reserve (Fed) Chair Jerome Powell testified on Tuesday about monetary policy before Congress, repeating his appearance today before a different commission.

As usual, Powell maintained his stance. The head of the Fed repeated the well-known message that policymakers are concerned about the potential impact of tariffs on inflation, hence, they will maintain their cautious approach to interest rate cuts. Regarding the Middle East crisis, Powell said that it was too early to consider it.

Data-wise, the macroeconomic calendar is scarce. The Eurozone did not publish relevant figures, while the American session will bring the United States (US) May New Home Sales.

As a note of colour, US President Donald Trump shifted his focus to the Russia-Ukraine war. Trump said that after long talks with the Russian leader, Vladimir Putin, he will now speak with his Ukrainian counterpart, Volodymyr Zelenskyy-

EUR/USD short-term technical outlook

The daily chart for the EUR/USD pair shows it consolidates near its recent 2025 peak at 1.1642, barely losing ground. Technical indicators ease within positive levels, far from suggesting a steeper decline ahead. At the same time, the pair remains well above bullish moving averages, with the 20 Simple Moving Average (SMA) far above the longer ones while providing dynamic support at around 1.1470. Overall, it seems buyers paused while sellers remain sidelined.

The near-term picture is quite similar. In the 4-hour chart, technical indicators stabilised well above their midlines after correcting overbought conditions. At the same time, EUR/USD is well above a still bullish 20 SMA, the latter around 1.1560. Finally, the longer moving averages maintain their upward slopes below the shorter one, reflecting buyers retain control despite the ongoing pause.

Support levels: 1.1560 1.1510 1.1470

Resistance levels: 1.1645 1.1690 1.1730