The EUR/USD pair faces continued downward pressure, trading below its 200-day Simple Moving Average (SMA), signaling potential further weakness in the near term. Market sentiment remains cautious as traders weigh the implications of this technical level, often viewed as a key indicator of trend direction. The pair’s inability to reclaim the SMA has raised concerns among investors about sustained bearish momentum.
Source – FXStreet
This decline is influenced by a combination of factors, including weaker eurozone economic data and a resilient U.S. dollar supported by hawkish Federal Reserve rhetoric. Analysts suggest that unless the pair regains ground above the 200-day SMA, downside risks could persist, with immediate support levels being closely monitored.
