- EUR/USD stabilizes around 1.0930 after the European session, maintaining a neutral stance.
- Overbought indicators suggest potential consolidation before a decisive move.
- Key support is at 1.0850, while resistance stands at 1.1000, with price action showing limited momentum.
EUR/USD remains stable on Tuesday, trading around 1.0930 after the European session with no clear directional bias. Following last week’s rally, the pair has struggled to gain further momentum, as both buyers and sellers adopt a cautious approach.
From a technical standpoint, the Relative Strength Index (RSI) sits at 73, indicating overbought conditions, though it has started to flatten, signaling a slowdown in bullish momentum. Similarly, the Moving Average Convergence Divergence (MACD) is displaying flat green bars, reflecting a lack of strong trend conviction. These factors suggest that EUR/USD may enter a consolidation phase before making a decisive move.
Key Levels to Watch
- Resistance: The 1.1000 level remains a critical barrier, having historically acted as strong resistance.
- Support: Initial support is seen around 1.0850, with stronger footing near the 20-day moving average at 1.0800. A break below these levels could trigger a corrective move, while maintaining price action above 1.0900 keeps the broader bullish outlook intact.
As the market awaits further catalysts, traders should monitor these levels for potential breakouts or reversals in the coming sessions.
EUR/USD daily chart
