EUR/USD was trading around the 1.0910 area after the European session, recovering from recent corrections. Despite this bounce, momentum indicators show uncertainty, with the RSI in overbought territory and the MACD indicating weaker momentum.
Following this recovery, the pair’s short-term outlook remains unclear. The RSI suggests strong buying interest; however, weaker MACD bars indicate that bullish momentum may be diminishing.
Key Resistance And Support Levels
Technical analysis reveals immediate resistance at 1.0930, with potential gains towards 1.0950 if this level is surpassed. Conversely, initial support sits at 1.0880, with a stronger level at 1.0850, making a deeper retracement possible if bearish momentum increases.
The current positioning of the pair reflects a market that is trying to find stability after its latest moves. The recovery towards 1.0910 shows that buyers have stepped in, but technical indicators are painting a mixed picture. With the RSI reaching overbought levels, it suggests demand remains high, yet the MACD’s loss of momentum raises doubts about the sustainability of this push.
If the pair continues facing resistance at 1.0930, traders will need to assess whether buying appetite remains strong enough to fuel further advances. Should it break through, the next test would be 1.0950, where profit-taking or fresh selling pressure could emerge.
Market Sentiment And Outlook
On the downside, 1.0880 serves as an area where bids may return, but if prices dip further, 1.0850 becomes the more decisive level. A move below this point would signal an increase in bearish sentiment, prompting traders to reassess near-term expectations.
We see a market that is at a crossroads, where price action must confirm whether buyers can sustain control or if sellers will regain traction. The coming sessions will require a close watch on these levels, as reactions around them will provide insight into the pair’s next direction.
