The EUR/USD pair continues to face downward pressure as the market remains subdued during the holiday season. Limited trading volumes have left the pair vulnerable to modest fluctuations, with sentiment largely shaped by lingering concerns over the eurozone’s economic outlook. Analysts suggest the thin liquidity conditions amplify the impact of minor market moves, making price stability harder to maintain.
While broader market drivers like central bank policy expectations are on pause, the euro remains tethered to recent data reflecting weaker-than-expected growth. Meanwhile, the U.S. dollar retains its edge, supported by its safe-haven appeal. With minimal economic releases and subdued investor activity, the pair may struggle to break out of its current range, leaving traders looking ahead to post-holiday trading for clearer direction.