EUR/USD Technical Outlook: 1.1800 Caps Gains While 1.1600 Holds
Daniel Whitfield
FX Strategist, VAKTO Research
The euro is boxed into a defined range against the dollar, with the 1.1800 zone capping rallies and the 1.1600 area providing support. Here are the levels that matter this week.
EUR/USD has spent recent sessions defining a clear range. After tagging a high near 1.1798 in early May, the pair faded back through 1.1700 and now trades around 1.1637. The price action has carved out a tradeable structure rather than a trend.
Resistance: the 1.1800 ceiling
The 1.1800 zone is the level bulls must overcome. The early-May high near 1.1798 stalled the advance and now acts as the upper boundary. A daily close above it would open the door toward the next leg higher; failure there keeps the range intact and favours fading strength.
Support: the 1.1600 floor
On the downside, the 1.1600 area has absorbed selling pressure and serves as the range floor. A decisive break below would shift the near-term bias bearish and expose lower levels, aligning with the broader dollar-strength narrative driven by the Fed's restrictive stance.
Until one edge gives way, the highest-probability approach is to respect the range: fade extremes, keep stops tight beyond the boundaries, and wait for a confirmed daily close to signal the next directional move.
Live Chart — EUR/USD
Real-time dataThis article is provided for general information only and does not constitute investment advice or a recommendation. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Past performance is not indicative of future results.
