EUR/USD Price Forecast: Buyers waiting for fresh clues

Valeria Bednarik FXStreet

EUR/USD Current price: 1.1695

The US Dollar maintains the negative tone amid speculation that the Fed will cut rates in September.
The German Harmonized Index of Consumer Prices was confirmed at 1.8% YoY in July.
EUR/USD eased from a fresh two-week peak, but buyers hold the grip.

The EUR/USD pair extends its positive momentum on Wednesday and hit a fresh two-week high of 1.1719 during European trading hours. Market players keep selling the US Dollar (USD) amid a better mood triggered by the release of the United States (US) Consumer Price Index (CPI). Inflation, as measured by the index, rose 2.7% in the year to July, while the core annual reading printed at 3.1%. Despite being above the Federal Reserve’s (Fed) goal, the figures are well below feared.

The central bank has refrained from trimming the benchmark interest rates amid speculation US President Donald Trump’s tariffs could trigger fresh inflationary spikes. However, price pressures have remained pretty stable for the last year or so, making policymakers acknowledge that the impact of widespread levies had not been as terrible as feared.

Data-wise, Germany confirmed that the Harmonized Index of Consumer Prices (HCIP) rose at a 2% annualized pace in July, as previously estimated.

EUR/USD short-term technical outlook

The daily chart for the EUR/USD pair shows it retreated and is currently hovering below the 1.1700 mark, yet that overall, the risk remains skewed to the upside. The pair keeps trading above all its moving averages, with a flat 20 SMA providing support at around 1.1590. Technical indicators, in the meantime, head north, although the Momentum indicator remains below its 100 line, suggesting buyers are not fully in.

In the near term, and according to the 4-hour chart, the EUR/USD pair is neutral-to-bullish. The pair advanced beyond all its moving averages, which, anyway, remain directionless and confined to a tight range, reflecting the latest absence of directional strength. Other than that, technical indicators hold within positive levels, although with uneven directional strength, failing to provide clues on what’s next for the pair.

Support levels: 1.1665 1.1620 1.1590

Resistance levels: 1.1715 1.1750 1.1785

Premium

You have reached your limit of 3 free articles for this month.

Start your subscription and get access to all our original articles.

Subscribe to Premium Sign In

Author

Valeria Bednarik

FXStreet

Valeria Bednarik was born and lives in Buenos Aires, Argentina. Her passion for math and numbers pushed her into studying economics in her younger years.

EUR/USD holds above 1.1750 after mixed EU PMI data

EUR/USD manages to hold above 1.1750 but struggles to gather recovery momentum on Friday, following the mixed February PMI figures from Germany and the Eurozone. In the second half of the day, Q4 GDP, December inflation and February PMI data from the US will be watched closely by market participants.

GBP/USD recovers further toward 1.3500 after UK PMI data

GBP/USD is recovering ground further toward 1.3500 in European trading on Friday, helped by a modest uptick in the Pound Sterling after stronger-than-expected UK January Retail Sales and February PMI data. However, the pair's further upside could be limited amid persistent US Dollar strength as the focus turns to key US data.

Gold sticks to positive bias above $5,000 ahead of US data

Gold gains some positive traction for the third consecutive day on Friday. holding above $5,000. Traders now look forward to the key US macro releases – the Advance Q4 GDP report and the Personal Consumption Expenditures (PCE) Price Index – for fresh trading impetus.

US GDP growth expected to slow down significantly in Q4 after stellar Q3

The United States Bureau of Economic Analysis will publish the first preliminary estimate of the fourth-quarter Gross Domestic Product at 13:30 GMT. Analysts forecast the US economy to have expanded at a 3% annualized rate, slowing down from the 4.4% growth posted in the previous quarter.

Iran tensions and AI fears at the forefront ahead of key US data

Thursday’s scorecard shows major US Stock benchmarks closed modestly in the red amid mounting US-Iran tensions and AI disruption worries. The S&P 500 shed 19 points (0.3%) to 6,861, the Nasdaq 100 lost 101 points (0.4%) to 24,797, and the Dow Jones Industrial Average dropped 267 points (0.5%) to 49,395.

Official Trump price approaches breakout with mixed signals from traders

Official Trump (TRUMP) is trading at $3.50 at the time of writing, approaching its upper consolidation range. A breakout from this range could open the door for an upside move. On-chain data shows market indecision, with balanced flows between bulls and bears, signaling a lack of clear directional bias.