EUR/USD: Bearish outside-day and Yuan sell-off could hurt the EUR

The common currency could remain under pressure after bearish outside-day reversal.
Yuan sell-off will likely keep USD better bid.

Omkar Godbole FXStreet Contributor

The EUR/USD is mildly bid around 1.1650 but may surrender gains in Europe, courtesy of bearish technical setup and Yuan sell-off.

The currency pair closed on a negative note at 1.1638 yesterday, validating Tuesday's bearish outside-day candle. Thus, the recent low of 1.1508 (June 21 low) stands exposed.

Further, the Chinese Yuan fell to 3.7398 per dollar in Asia, its lowest level since July 28, 2017, on trade-related uncertainty. As a result, greenback - the new safe haven asset - will likely remain bid against the EUR and most majors.

EUR/USD Technical Levels

Resistance: 1.1667 (20-day moving average), 1.1745 (Tuesday's bearish outside-day candle's high), 1.1791 (July 9 high).

Support: 1.1602 (previous day's low), 1.1570 (lower Bollinger Band), 1.1508 (June 21 low).

	TREND INDEX	OB/OS INDEX	VOLATILY INDEX
15M	Bullish	Neutral	High
1H	Bullish	Neutral	Low
4H	Bearish	Neutral	High
1D	Strongly Bearish	Neutral	Low
1W	Bearish	Neutral	High
Updated Jul 19, 04:00 GMT

Author

Omkar Godbole

FXStreet Contributor

Omkar Godbole, editor and analyst, joined FXStreet after four years as a research analyst at several Indian brokerage companies.

EUR/USD stays near 1.1650 with fading momentum

EUR/USD holds ground after five days of losses, trading around 1.1650 during the Asian hours on Friday. The 14-day Relative Strength Index momentum indicator at 39 trends lower, confirming fading momentum rather than oversold conditions.

GBP/USD remains below 1.3450, nine-day EMA

GBP/USD remains subdued for the fourth consecutive day, trading around 1.3430 during the Asian hours on Friday. The momentum indicator 14-day Relative Strength Index at 51.9 is neutral, reflecting slower momentum after firm recent readings. An RSI drop back beneath 50 would strengthen the case for a deeper pullback.

Gold edges lower as USD preserves its recent gains ahead of US NFP report

Gold struggles to capitalize on the previous day's goodish rebound from the vicinity of the $4,400 mark and attracts fresh sellers during the Asian session on Friday. The US Dollar preserves its gains registered over the past two weeks and touches a nearly one-month high, undermining the commodity.

Bitcoin, Ethereum and Ripple find key support, reviving rally hopes

Bitcoin, Ethereum, and Ripple steadied above key support levels on Friday after being rejected at mid-week resistance zones. The short-term recovery prospects remain intact if the top three cryptocurrencies by market capitalization hold these support zones.

2026 economic outlook: Clear skies but don’t unfasten your seatbelts yet

Most years fade into the background as soon as a new one starts. Not 2025: a year of epochal shifts, in which the macroeconomy was the dog that did not bark. What to expect in 2026? The shocks of 2025 will not be undone, but neither will they be repeated.

Pepe Price Forecast: PEPE risks 100-day EMA fallout as bullish interest fades

Pepe is under extreme selling pressure, trading in the red for the fifth consecutive day, down 1% at press time on Friday. Pepe’s decline following a 72% hike last week suggests a likely profit-booking phase, while on-chain data indicates declining network activity.