The EURUSD tried to move higher (lower USD) after the tamer US CPI data. However, the price high stalled at resistance swing area within the key 1.0936 – 1.0954, a historically significant level where prior highs have repeatedly capped gains. Going forward, the EURUSD pair needs a strong breakout above this zone to sustain bullish momentum. That could not be done yesterday or today. Sellers making a play.
On the downside, 1.0872 is the immediate support to watch. That area was a swing level going back to October and November 2024. A confirmed break below this level would shift the bias more to the downside – at least in the short term – opening the door for a move toward the 61.8% retracement at 1.0817.
Looking back, the swing level the swing level at 1.0872 from October/November 2024 triggered a sharp sell-off, reinforcing its importance in the current price action. This level now serves as a decision point—whether buyers can hold control or if sellers regain dominance.
The 1.0872 remains the pivot—holding above keeps buyers in the driver’s seat, while a sustained break lower would tilt momentum back to the downside.
This article was written by Greg Michalowski at www.forexlive.com.
