The EUR/USD pair might continue its downward trajectory as short-term price momentum appears to be faltering. Currently, the first line of support can be seen at its recent two-year low of 1.0332, a level reached on November 22. Meanwhile, the nine-day EMA serves as a resistance point at 1.0417.
In the European trading session on Tuesday, EUR/USD is showing some recovery from its previous losses, hovering around 1.0410. A look at the daily chart confirms a bearish outlook, with the currency pair still constrained within a descending channel pattern.
Assessing momentum indicators, the 14-day Relative Strength Index (RSI) is positioned below the 50 mark, signaling a continuing bearish sentiment. Furthermore, the nine-day Exponential Moving Average (EMA) is trailing below the 14-day EMA, pointing to waning short-term price momentum.
If the pair dips below the prominent support of 1.0332, set on November 22, it could potentially bolster the bearish sentiment further, causing the pair to probe the lower edge of the descending channel around the 1.0010 mark.
On the resistance front, the EUR/USD is currently facing an initial hurdle at the nine-day EMA situated at 1.0417, and subsequently, the 14-day EMA at 1.0433. Clearing past these EMA levels could propel the pair towards the upper boundary of the descending channel near the 1.0500 mark, and possibly reaching the seven-week high at 1.0630.
EUR/USD: Daily Chart
Now, taking a glance at the Euro’s performance in the currency market, here’s a snapshot of how it’s faring against major currencies as of today. The Euro has shown notable strength against the New Zealand Dollar.
| Currency Pair | Change |
|---|---|
| EUR/USD | +0.15% |
| EUR/GBP | +0.12% |
| EUR/JPY | -0.23% |
| EUR/CAD | +0.25% |
| EUR/AUD | +0.28% |
| EUR/NZD | +0.39% |
| EUR/CHF | +0.03% |
In the heat map detailing percentage changes, the base currency is listed down the left side, while the quote currency is at the top. For instance, selecting Euro on the left and moving horizontally to USD reveals the percentage change for EUR/USD.
This evolving chart reflects the dynamic interplay in the currency markets, driven by broader economic sentiments and investor positioning. The data paints a vivid picture of comparative strengths, offering key insights into market trends.
