EURUSD Trading Signals and Market Sentiment Update
The EUR/USD currency pair, also known as the “Fiber,” is the most traded forex pair globally, representing the exchange rate between the euro and the U.S. dollar. It is highly liquid and influenced by macroeconomic indicators, central bank policies, and geopolitical developments. Today, traders are closely watching key economic releases from the Eurozone, including the Industrial Production report, which serves as a leading indicator of economic health, and the Trade Balance data, which reflects export strength. A higher-than-expected surplus could boost the euro, while a weaker result may weigh on the currency. Additionally, the Eurogroup meeting could introduce policy decisions impacting EUR volatility, and the Sentix Investor Confidence Index will provide insight into market sentiment. Strong data releases may fuel further gains for EUR USD, while disappointing figures could lead to a pullback. However, given the pair’s current bullish trend, any retracement may be temporary unless the fundamentals shift significantly.
Chart Notes:
• Chart time-zone is UTC (+02:00)
• Candles’ time-frame is 4h.
Analyzing the EUR/USD H4 chart, the pair is trading above the Ichimoku Cloud, reinforcing a strong bullish trend. Today’s session opened with a sharp upward move, pushing the price toward the 1.08892 Fibonacci resistance level (1.0 Fib retracement), but it has struggled to break through. If this level remains intact, a corrective pullback could occur. The Relative Strength Index (RSI) is nearing 70, suggesting overbought conditions, which may slow buying momentum in the short term. Meanwhile, the MACD (Moving Average Convergence Divergence) remains bullish, with the MACD line above the signal line, though a potential crossover could indicate waning momentum. If EURUSD breaks above 1.08892, the next upside target is 1.11150, whereas a failure to hold 1.08370 as support could drive the pair toward 1.06381 (61.8% Fib retracement level).
• DISCLAIMER: Please note that the above analysis is not an investment suggestion by “Capitalcore LLC”. This post has been published only for educational purposes.
