EUR/USD Price Analysis and Trade Forecast: Daily Trading Signal

Daily Price Outlook

- EUR/USD faces immediate resistance at $1.0988, with support at $1.0892.

- RSI at 73 indicates overbought conditions, suggesting potential for a pullback.

- The 50-day EMA at $1.0852 provides dynamic support for the current bullish trend.

The EUR/USD pair is trading at $1.09566, showing a modest decline of 0.09% as investors react to mixed economic signals from both sides of the Atlantic.

The pair has recently navigated a challenging environment, with traders keeping a close eye on technical levels for clues about its next move.

The 4-hour chart reveals that EUR/USD is slightly above its pivot point of $1.0946, indicating a potential bullish outlook if it maintains support above this level.

Immediate resistance is observed at $1.0988, which could act as a hurdle for any upward movement. If the pair manages to break through this resistance, it may target further gains at $1.1022 and $1.1048.

On the downside, immediate support is positioned at $1.0892, with additional support levels at $1.0858 and $1.0822. Traders should monitor these support levels closely, as a breach could signal further bearish momentum.

The Relative Strength Index (RSI) stands at 73, indicating that the EUR/USD is currently in overbought territory. This suggests a possible correction could be on the horizon if the buying pressure eases.

Meanwhile, the 50-day Exponential Moving Average (EMA) is situated at $1.0852, offering dynamic support that aligns with the bullish sentiment observed in recent sessions.

Given the current technical setup, traders might consider buying EUR/USD above the entry price of $1.09457, aiming for a potential upside toward the target of $1.10107. To manage risk, a stop-loss should be placed at $1.08909.

EUR/USD - Trade Ideas

Entry Price – Buy Above 1.09457

Take Profit – 1.10107

Stop Loss – 1.08909

Risk to Reward – 1: 1.19

Profit & Loss Per Standard Lot = +$650/ -$548

Profit & Loss Per Mini Lot = +$65/ -$54