The EURUSD currency pair tested a key support area during the early US session, reaching a low of 1.0455 and bouncing off the 200-hour moving average. This movement occurred within the swing area defined between 1.04529 and 1.04677.
The price rebound from this area has led to increased focus among traders. If the EURUSD remains above this support, attention will shift to recent highs near 1.0505 and 1.0512, as well as levels from late January around 1.0528 to 1.0532. The 100-day moving average is located above these levels at 1.05476.
This area has proved to be a battleground where buyers have stepped in to defend the lower boundary, stopping further weakness for now. The fact that the price held above 1.04529 reinforces its importance. Those who entered long positions at the tested support will be watching nearby resistance levels closely, as failure to push higher could bring renewed selling pressure.
If buying momentum builds, the first set of hurdles sits between 1.0505 and 1.0512, where sellers previously emerged. A further extension towards the 1.0528–1.0532 zone could then become a target, considering the reactions observed there in late January. Beyond that, the 100-day moving average, resting at 1.05476, is another reference point. A move through this area would be a strong indication that buyers are regaining control, shifting the focus toward even higher resistance zones.
On the other hand, if the EURUSD starts losing ground again and slips beneath 1.04529, those who positioned themselves for upside movement will be forced to reconsider. A failure to hold this level could see the pair drift lower, opening the door for a deeper retracement. Sellers may then look for further downside targets, which are yet to come into the picture but could quickly gain relevance if weakness persists.
For now, market attention remains on whether support holds and if buyers can sustain upward pressure. Trading decisions in the coming days will likely revolve around these key levels, with price reactions offering clear indications of sentiment shifts.
