- The softer US Dollar is boosting the four-day rally, with eyes on the 50-DMA.
- Receding aggressive Fed tightening bets keep EUR/USD elevated.
- US CPI to provide the next directional bias for EUR/USD.
EUR/USD price took a sharp rebound from February's low at 1.0537 and since then it has been aggressively heading higher. The softer US Dollar is driving the EUR/USD above the 1.0700 psychological mark, which is a multi-tested round figure mark on the daily chart.
The pair is flirting around the 50-Daily Moving Average (DMA), which is currently pegged around the 1.0727 level, at the time of writing, keeping a lid on further price momentum.
Given the fact that the upside for the pair is likely to remain intact until the US Dollar is subdued on the back of falling US Treasury bond yields, any convincing break above the 50-DMA will likely lead the pair toward the next support zone and a key psychological level at 1.0800.
On the other side, any downside for EUR/USD will be limited around the previous day’s low at 1.0645, which is also coinciding with 21-DMA. The Relative Strength Index (RSI) is hovering around the soft ’50s, suggesting further upside room for EUR/USD.
Dwindling bets for aggressive rate hiking from Federal Reserve (FED) amid the Silicon Valley Bank’s (SVB) fallout is likely to keep the US Dollar trajectory to the downside, for time being. The next upcoming event, the US Consumer Price Index (CPI), will be key to watch for the pair, as it provides a narrative before heading into the March 22, FOMC meeting.
EUR/USD: Daily chart
-638143550852683804.png)
Recommended content
Editors’ Picks
EUR/USD climbs to daily highs, targets 1.1200
EUR/USD extended its intraday rebound to the 1.1180 zone, or daily highs, on Tuesday, as the US Dollar remains on the back foot while investors keep digesting the softer-than-expected April inflation data and the recent US-China trade deal.
GBP/USD picks up pace and retests 1.3300
GBP/USD resumes its uptyrend on Tuesday and reclaims the 1.3300 barrier and beyond, propped up by broad-based weakness in the US Dollar. The Dollar’s decline accelerated after lower-than-estimated US inflation readings in April, reinforcing expectations of a patient Federal Reserve.
Gold sticks to daily gains around $3,250
Gold prices pared some of their early-week losses and hovered near $3,250 on Tuesday afternoon, supported by a cautious market tone and softer-than-expected US April CPI data, which helped XAU/USD stabilise.
UnitedHealth stock craters as CEO resigns, insurer suspends guidance Premium
UnitedHealth Group stock slumped 10.4% in Tuesday's premarket after the United States' largest private health insurer said it would suspend guidance for 2025 due to increasing healthcare costs. The sell-off sent shares down to a more than four-year low near $340.
US-China trade truce only emphasizes timeless investing truths
Markets roared back to life as the US and China hit pause on their escalating trade war, with both sides emphasizing mutual respect and dignity. But it wasn’t the fine print that moved markets—it was the mood shift. Investors rushed back into risk assets, betting that the worst might be behind us.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.