Review of the EUR/USD Status as of 2025.05.13

[Forum Admin]

Review of the EUR/USD Status as of 2025.05.13

 

As indicated in the previous analysis of the EUR/USD currency pair dated April 30, 2025, considering the overbought condition of the chart, the price had the potential for correction. Ultimately, sellers successfully drove the price down to the support range of 1.12030 - 1.12500.
 
In longer timeframes, such as the monthly and weekly charts, although buyers have successfully breached the price peaks of 2023 and 2024, the recent reversal and price decline over the past three weeks strengthen the possibility of a false breakout. This hypothesis remains probable until a significant price floor and other technical factors materialize on the weekly chart.
 
In shorter time frames, such as the daily and 4-hour charts, the prevailing trend has become corrective due to the general strengthening of the US dollar. The trade agreement between the United States and China has strengthened the dollar, causing downward movements in EUR/USD. Should the price floor of 1.10647 be breached, the price has the potential to decline further towards the support level of 1.10400.
 
In the opposing scenario and bullish possibilities, should the 1.12000 level be broken and prices consolidate above this key level, the price will have the potential for further ascent towards the resistance level of 1.12600.
 

Trade EUR/USD on CloseOption 1.000$ Weekly Free Entry Trading Contest