EUR/USD Price Analysis: Inches lower to 1.0840 followed by the monthly low

EUR/USD loses ground toward the monthly low at 1.0813.
Technical analysis suggests a conformation of the bearish sentiment.
The region around the 23.6% Fibonacci retracement and the 21-day EMA could act as the resistance zone.

Akhtar Faruqui FXStreet

EUR/USD trades lower around 1.0840 during the Asian session on Monday, retracing its recent gains. The pair experiences downward pressure due to the risk-off mood, which could be attributed to the escalated tension in the Middle East after a drone attack on a United States (US) post in Jordon, killed three US personnel.

The significant level at 1.0850 may act as immediate resistance for the EUR/USD pair. A successful breakthrough above the latter could potentially propel the pair towards the 23.6% Fibonacci retracement level at 1.0889, followed by the 21-day Exponential Moving Average (EMA) at 1.0898, in conjunction with the psychological barrier at the 1.0900 level.

The 14-day Relative Strength Index (RSI) for the EUR/USD pair lies below the 50 mark, indicating a bearish momentum in the market. Additionally, the Moving Average Convergence Divergence (MACD), a lagging indicator, signals a potential confirmation of a downward trend with the MACD line positioning below the centerline and the signal line.

In the previous week, the EUR/USD pair reached its monthly low at 1.0813. A decisive break below this monthly low could prompt bearish sentiment, potentially driving the pair toward the psychological support level at 1.0800. If the pair extends its decline below the psychological level, it may face pressure to navigate toward the support level at 1.0750.

EUR/USD: Daily Chart

EUR/USD: additional technical levels

Overview
Today last price	1.0846
Today Daily Change	-0.0008
Today Daily Change %	-0.07
Today daily open	1.0854

Trends
Daily SMA20	1.0917
Daily SMA50	1.092
Daily SMA100	1.0777
Daily SMA200	1.0844

Levels
Previous Daily High	1.0886
Previous Daily Low	1.0813
Previous Weekly High	1.0932
Previous Weekly Low	1.0813
Previous Monthly High	1.114
Previous Monthly Low	1.0724
Daily Fibonacci 38.2%	1.0858
Daily Fibonacci 61.8%	1.0841
Daily Pivot Point S1	1.0816
Daily Pivot Point S2	1.0778
Daily Pivot Point S3	1.0743
Daily Pivot Point R1	1.0889
Daily Pivot Point R2	1.0924
Daily Pivot Point R3	1.0962

Author

Akhtar Faruqui

FXStreet

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

AUD/USD bulls regain control above 0.6950 amid USD retreat

AUD/USD regains traction and extends the previous day's bounce from the weekly low, aiming for 0.7000 in Asia on Friday. The overnight pullback in US bond yields keeps the US Dollar below an 18-month high, which in turn offers some support to the pair. Meanwhile, hawkish RBA expectations also keep the major underpinned.

USD/JPY holds gains near 158.00 after Japan's weak Household Spending data

USD/JPY clings to gains around 158.00 after data showed on Friday that Japan's Household Spending fell for the ninth straight month, undermining the Japanese Yen. Meanwhile, the US Dollar remains depressed as the overnight fall in US bond yields counters a hawkish Fed and geopolitical uncertainties, could cap any downside in the pair.

Gold retakes $4,200 amid pre-US CPI repositioning

Gold holds firm, revisiting $4,200 on Friday, extending recovery from two-month lows. US Dollar eases in tandem with Oil prices and Treasury yields, awaiting US sentiment data. The tide seems to be turning in favor of Gold, but the daily RSI is still bearish.

Starknet rally tests key breakout amid proposed Layer-1 transition

Starknet (STRK) is up 16% so far on Friday, advancing its steady recovery of nearly 200% since mid-August. The rally aligns with the rising demand for financial anonymity in the cryptocurrency market and the CEO of StarkWare, Eli Ben-Sasson’s proposed transition of Starknet to Layer-1 to achieve quantum security by 2027.

The inflation illusion: How government formulas shape the data

Every month, the government releases a barrage of economic statistics. Employment, inflation, consumer spending, economic growth, and countless other measurements are presented as objective facts that policymakers, investors, and the public can use to understand the economy. But what happens when the methodology used to produce those numbers changes?

The UK 30-year gilt just hit a 1998 high. Is that good or bad for the British Pound?

The yield on the UK's 30-year government bond, or gilt, went through 6% on October 1 for the first time since early 1998, and on Monday the Pound was at its strongest against the Euro since June 2025. The gilt market's 28-year high is mostly someone else's. Since early May, the 30-year gilt yield has risen about 0.15 of a percentage point and the US 30-year about 0.7.