Key Takeaways
- EUR/USD Rises – Trading at 1.0287, up 0.39% today.
- Bearish Trend Continues – Down 1.14% in 30 days, 5.13% in a year; below key moving averages.
- Key Levels to Watch – Support at 1.0250/1.0200, resistance at 1.0350/1.0400; a break could shift momentum.
- Dollar Strength Pressures Euro – U.S. tariffs boost USD, while French political uncertainty weakens EUR.
- Outlook Remains Bearish – Strong USD and Eurozone instability keep EUR/USD under pressure.
Current Price
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As of February 3, 2025, the EUR/USD pair is trading at approximately 1.0287, reflecting a 0.39% increase for the day.
Technical Analysis
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The EUR/USD has experienced a downward trend, with a 1.14% decline over the past 30 days and a 5.13% decrease over the past year. The pair is currently trading below its 50-day and 200-day moving averages, indicating a bearish outlook. The Relative Strength Index (RSI) is approaching oversold territory, suggesting a potential for a short-term corrective rebound. Key support levels are identified at 1.0250 and 1.0200, while resistance levels are observed at 1.0350 and 1.0400. A decisive break below the 1.0250 support could pave the way for further declines, whereas a move above the 1.0400 resistance might signal the beginning of a corrective phase.
Fundamental Analysis
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Recent developments have significantly impacted the EUR/USD dynamics. The U.S. dollar has strengthened following the announcement of new tariffs by President Trump, which has increased demand for the safe-haven currency. Conversely, the euro has faced pressure due to political uncertainties in France, where concerns about a potential government collapse have emerged. These factors have contributed to the euro’s depreciation against the dollar.
Looking Ahead
- The EUR/USD pair is expected to remain under pressure due to the strengthening U.S. dollar and political uncertainties within the Eurozone. Investors are advised to monitor upcoming economic data releases and geopolitical developments closely, as these will play crucial roles in shaping the pair’s trajectory in the near term.