Technical Rebound at Key EMA, Medium-Term Uptrend Remains Intact
Hello everyone,
EUR/USD has just completed a fairly deep but well-controlled correction. The prior sell-off pulled price back toward the medium-term EMA zone around 1.16801.1700, and the subsequent rebound suggests selling pressure is no longer expanding, while buyers have started to step in to defend the broader structure.
Although price briefly printed a lower low in the short term, the medium-term picture has not been broken. At the moment, EUR/USD is fluctuating around the confluence of EMA 34 and EMA 89 near 1.17301.1740 a key decision area. Holding above this zone would give the market room to continue consolidating and recovering; failure here could open the door for a retest of the prior lows.
From a macro perspective, the current backdrop does not place significant pressure on the euro. The Fed remains cautious and data-dependent, limiting the upside in US Treasury yields. Meanwhile, the ECB continues to maintain a moderately firm stance, helping EUR hold a stable price base. Upcoming data such as services PMI and US jobless claims may trigger short-term volatility, but in my view, they are unlikely to alter the medium-term trend unless a major surprise emerges.