EUR/USD

Bullish

Archived analysis from Aug 25, 2026, 1:31 PM

Key insight

1.17 psychological resistance tested — sustained close above triggers acceleration toward 2025 high at 1.1850. USD weakness from Fed's on-hold stance vs. ECB's higher-for-longer posture drives the bid.

Holds 1.1672, up ~7% YTD as USD structural selling persists. Dollar Index near multi-year lows while ECB keeps rates restrictive, keeping EUR/USD bid above the 1.15 breakout level.

Main risk

Fed hawkish pivot / USD snapback

Surprise Fed tightening signal breaks 1.1550 support, invalidating the bull trend; DXY recovery above 102 key threshold.

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