Review of the EUR/USD Outlook – Dated August 28, 2025

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Review of the EUR/USD Outlook – Dated August 28, 2025

 
The EUR/USD pair has exhibited bearish tendencies since the beginning of July, failing to secure further upward momentum.

In longer-term timeframes such as the weekly chart, the price remains relatively overbought. The formation of recent peaks, which have been unable to surpass the previous highs, indicates a partial retreat of buyers.

From a fundamental perspective, the U.S. dollar is in a challenging position, and recovery efforts do not appear to be assured. In this regard, the lack of alignment between former President Trump and the Federal Reserve has become more apparent, leading to a partial weakening of the dollar’s strength.

On shorter-term timeframes, such as the daily chart, the price has been halted at a descending trendline formed by two resistance points, preventing further upward movement, and is currently in decline.

Should prices stabilize below the 1.15800 support level (which, under current conditions, serves as the most critical barrier to further downside), bearish sentiment is likely to intensify, giving the pair potential to decline further toward the 1.15000 support level, and in a more severe scenario, down to 1.14500.

Conversely, in the bullish scenario, the first signal would emerge if the daily candle high of August 26 is broken. 

Following that, buyers may attempt to breach the descending trendline—a favorable indication of a potential bullish reversal. In this case, the following resistance levels for the price would be 1.17300 and 1.18000.

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