FX.co ★ Sajidctn | EUR/USD

Fundamental and technical analysis EURUSD The EUR/USD pair is currently trading around 1.1622, with a bearish trend indicated by various technical indicators. Heres a breakdown of the fundamental and technical analysis: *Fundamental Analysis:* *Interest Rate Differentials:* The European Central Bank (ECB) and Federal Reserve (Fed) interest rate decisions significantly impact the pairs value. Higher interest rates in the US compared to the Eurozone can strengthen the USD. *Economic Data:* GDP growth, inflation rates, and employment data from both regions influence the pairs strength. Strong economic indicators in the US can boost the USD, while weak data in the Eurozone can weaken the EUR. *Geopolitical Events:* Global events, such as trade tensions and economic crises, can impact the pair, with investors often seeking safe-haven currencies like the USD. *Technical Analysis:* *Trend:* The EUR/USD pair is under negative pressure, with a bearish trend indicated by its trading below the EMA50. *Support and Resistance Levels:* Key support levels are at 1.1608 (20 SMA) and 1.1584 (Fibonacci 61.8% retracement), while resistance levels are at 1.1632 and 1.1641 (100 SMA). *Relative Strength Index (RSI):* The 14-period RSI has recovered to 51.3, indicating buyers are attempting to seize near-term control, although momentum remains subdued. *Outlook:* The fundamental backdrop favors the US Dollar over the Euro, with a potential return to parity between the currencies. Technically, the EUR/USD pair faces a bearish outlook for 2025, with potential targets at 1.0330 and parity if selling pressure persists. However, a sudden EU economic recovery or US weakness could push the pair toward 1.0600, with a possible rally to 1.1000 later in the year. All our analyses are our personal vision of the direction and the expected next move, you may and may be disappointed. If my analysis matches your analysis, you can enter with a strict management of capital management and the size of the contract based on the value of your account.

MACD Indicator: The Moving Average Convergence Divergence (MACD) helps assess momentum. It involves two lines and a histogram. Bullish Signal: A MACD crossover above the Signal line especially if below the zero line and then moving up indicates increasing bullish momentum and a potential buy signal. Bearish Signal: A MACD crossover below the Signal line suggests increasing bearish momentum and a potential sell signal. Moving Averages: 50,100,200 (MA-50,100,200): The 50,100,200-periods Moving Averages (MA-50,100,200) on the H1 chart is a crucial line for defining the short-term trend. If the price is above the MA-50,100,200 the short-term trend is bullish. The MA-50,100,200 acts as a dynamic support. If the price is below the MA-50,100,200 the short-term trend is bearish, and the MA-50,100,200 acts as a dynamic resistance, meaning any rally might stall there. The indicator used in this chart : 50-day simple moving average color red : 100-day simple moving average color blue 200-day simple moving average color white: RSI indicator period 14: