EUR/USD aims to stabilize above 1.0850 as US Dollar faces pressure

EUR/USD focuses on shifting its auction range above 1.0850 as the US Dollar drops.
Weak US Manufacturing PMI has prompted expectations of Fed rate cuts in June.
Eurozone’s high monthly inflation growth has eased early ECB rate-cut expectations.

Sagar Dua FXStreet

The EUR/USD pair aims to shift the trading range above the crucial resistance of 1.0850. The major currency pair strengthens as the US Dollar remains on the back foot and hopes of early European Central Bank (ECB) rate cuts drop further.

The overall market action seems disordered as the S&P 500 futures are slightly down while risk-sensitive currencies perform well. The US Dollar Index (DXY) drops to 103.80 as expectations for a rate cut by the Federal Reserve (Fed) have escalated.

The CME FedWatch tool shows a 58% chance that interest rates will be down by 25 basis points (bps) in the June policy meeting. The expectations for a rate-cut were at 53% before the February’s ISM Manufacturing PMI data, released on Friday.

The ISM reported the Manufacturing PMI at 47.8, lower than expectations of 49.5 and the former reading of 49.1. The agency reported that the fresh factory orders index has also come down significantly, indicating that recovery in the Manufacturing PMI has stalled.

Going forward, the market participants will focus on the Fed Chair Jerome Powell’s testimony before Congress in which he is expected to reiterate the need of having convincing evidence, which will confirm that inflation is on track to the 2% target.

On the Eurozone front, stickier-than-expected preliminary inflation data for February has pushed back expectations of early rate cuts by the ECB. The fears of persistent inflation deepened as the monthly headline and core inflation data grew strongly by 0.6% and 0.7%, respectively.

EUR/USD

Overview
Today last price	1.0854
Today Daily Change	0.0016
Today Daily Change %	0.15
Today daily open	1.0838

Trends
Daily SMA20	1.0791
Daily SMA50	1.0872
Daily SMA100	1.0826
Daily SMA200	1.0829

Levels
Previous Daily High	1.0843
Previous Daily Low	1.0798
Previous Weekly High	1.0866
Previous Weekly Low	1.0796
Previous Monthly High	1.0898
Previous Monthly Low	1.0695
Daily Fibonacci 38.2%	1.0826
Daily Fibonacci 61.8%	1.0815
Daily Pivot Point S1	1.0809
Daily Pivot Point S2	1.0781
Daily Pivot Point S3	1.0764
Daily Pivot Point R1	1.0854
Daily Pivot Point R2	1.0871
Daily Pivot Point R3	1.09

Author

Sagar Dua

FXStreet

Sagar Dua is associated with the financial markets from his college days. Along with pursuing post-graduation in Commerce in 2014, he started his markets training with chart analysis.

EUR/USD bears Flirt with 61.8% Fibo. support near 1.1775 area

The EUR/USD pair extends the previous day's late pullback from the 1.1835 region and attracts some follow-through selling during the Asian session on Tuesday. Spot prices currently trade around the 1.1775-1.1770 area, down nearly 0.15% for the day amid a modest US Dollar strength.

GBP/USD holds losses below 1.3500 due to BoE rate cut bets

GBP/USD edges lower after two days of gains, trading around 1.3480 during the Asian hours on Tuesday. The pair declines as the US Dollar rebounds from losses recorded over the previous two sessions. Traders will focus on the US ADP Employment Change four-week average later in the day, along with speeches from Federal Reserve officials.

Gold down but not out as key $5,140 support holds

Gold consolidates the advance to monthly top of $5,250 in Tuesday’s Asian trades. The US Dollar finds demand as liquidity returns and risk sentiment recovers, despite US tariffs uncertainty. Gold defends 61.8% Fibo resistance at $5,142 amid the pullback, daily RSI remains bullish.

Dogecoin, Shiba Inu, and Pepe extend losses on bearish signals

Meme coins are facing renewed selling pressure amid fading broad risk-on sentiment so far this week, with Dogecoin, Shiba Inu, and Pepe extending their losses after recent corrections.

Supreme Court nixes tariffs, Trump teases 15% global tariff

On February 20th, the Supreme Court ruled that Trump’s global tariffs under IEEPA authority were unconstitutional, effectively nullifying the framework. However, the relief was short-lived. Within hours, Trump floated a 15% blanket tariff under an alternative legal authority.

XRP recovers slightly as bearish sentiment dominates crypto market

Ripple is rising above $1.40 at the time of writing on Monday amid fresh tariff-triggered headwinds in the broader cryptocurrency market. The sell-off to $1.33, the token’s intraday low, can be attributed to macroeconomic uncertainty, geopolitical tensions and risk-averse sentiment among other factors.