EUR/USD neutral/bearish, resistance aligns at 1.1620/50 – Scotiabank

Pablo Piovano FXStreet

In view of FX Strategists at Scotiabank, EUR/USD's outlook remains neutral/bearish in the short-term horizon, while the initial hurdle emerges in the 1.1620/50 band.

Key Quotes

“The outlook for relative central bank policy is dominating as market participants consider ECB President Draghi’s Sintra speech and his message of ‘patience’ highlighting the need for ‘significant’ monetary accommodation. Euro area rate expectations remain relatively unchanged however, and are still within the levels observed at the height of the Italian-driven turmoil from late May. Yield spreads are actually narrowing as risk aversion pressures U.S. Treasury yields to a greater extent relative to bunds. Positive headlines relating to migration are also being overlooked in the context of trade policy uncertainty, and hint to a potential constructive outcome at next week’s EU summit”.

“Momentum indicators are bearish but only modestly so, and DMI’s are bearishly aligned however their magnitude is relatively muted. Near-term support is limited ahead of the late May low at 1.1510 and we highlight the importance of the 50% retracement of the rally from January 2017 just below 1.1450. Near-term resistance is expected between 1.1620 and 1.1650”.

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

EUR/USD shifts its attention to 1.1900 and above

EUR/USD has shaken off Tuesday’s dip, pushing back beyond the 1.1800 mark amid decent gains as Wednesday’s session draws to a close. The rebound is largely driven by a modest pullback in the US Dollar, as markets digest the aftermath of President Trump’s SOTU speech and continue to monitor trade-related headlines and signals from the White House.

GBP/USD challenges multi-day highs near 1.3530

GBP/USD leaves behind the previous day’s decline and regains fresh upside traction on Wednesday, surpassing the 1.3500 barrier in a context of a modest decline in the Greenback and a generalised improved mood in the risk-linked space. Meanwhile, the US tariff narrative continues to dictate the mood among market participants after Presidet Trump’s SOTU speech failed to surprise markets.

Gold remains bid and close to $5,200

Gold buyers are returning to the fold on Wednesday, targeting the $5,200 area and possibly beyond, after Tuesday’s corrective dip from monthly highs. The rebound in the precious metal comes as the US Dollar loses traction, with Trump’s SOTU speech offering little fresh direction and AI-related nerves continuing to ease.

UK financial watchdog advances stablecoin oversight as four firms pilot issuance

The Financial Conduct Authority (FCA) in the United Kingdom (UK) is advancing toward the final stablecoin regulatory framework with a pilot program involving four companies, including Monee, Financial Technologies ReStabilise, Revolut and VVTX.

Nvidia earnings to influence AI trade and broader market sentiment

For the last three years, Nvidia has been the engine of the AI boom, and now Wall Street is watching to see whether that momentum can keep going. High-growth stocks have been struggling to maintain their bullish trend in 2026.

Cosmos Hub Price Forecast: ATOM rebounds slightly, bearish outlook remains intact

Cosmos Hub (ATOM) price rebounds, trading above $2.05 at the time of writing on Wednesday, after undergoing a sharp correction since last week. Weakening on-chain and derivatives data support a bearish outlook, while technical analysis remains unfavorable.