Euro’s Rally Threatened by Current Resistance Level 8/7/2025

The EUR/USD pair continues to trade within a well-defined upward trajectory, edging closer to the key psychological resistance at 1.1800, with a session high recorded at 1.1790.

Technical Outlook – 4-Hour Chart:
Price action indicates strong resistance near the 1.1800 threshold, which has prompted some intraday pullbacks. Additionally, the 50-period simple moving average is beginning to act as a dynamic resistance level. The Relative Strength Index (RSI) is showing signs of weakening, suggesting potential for a short-term corrective move as the pair exits overbought territory.

Probable Scenario – Temporary Pullback:
As long as 1.1800 remains unbroken, a downward correction remains likely, with:

• 1.1690 as the first support level
• Followed by 1.1640 if bearish momentum accelerates

Alternate Scenario – Continued Upside:
A confirmed break and daily close above 1.1800 would likely reinforce bullish momentum, opening the door for:

• 1.1845 as an immediate target
• Followed by an extension toward 1.1900

Warning:
Risk levels remain elevated due to persistent trade and geopolitical tensions. All potential scenarios should be considered, and market volatility may increase unexpectedly.

Warning: Trading CFDs carries risk. This analysis is not a recommendation to buy or sell, but an illustrative interpretation of chart movements.

S1: 1.1690	R1: 1.1800
S2: 1.1635	R2: 1.1845
S3: 1.1580	R3: 1.1905