Will EURUSD continue higher, or are bulls cracking under pressure?
Watch today’s video for my thoughts, including key levels and scenarios to keep an eye on. I’ll also share the latest on the DXY as dollar bulls make their stand.
EURUSD has trended higher all year. Every time dollar bulls try to retake the reins, they get a hefty dose of reality.
However, Tuesday’s price action could be different. The DXY closed Monday’s session below the 98.90 key level but is currently well above that mark.
The EURUSD is also failing to hold above 1.1425 so far. The pair closed above the key level on Monday.
But let’s not get ahead of ourselves. The DXY bouncing from 98.90 and the EURUSD reversing from 1.1425 wouldn’t change this year’s trends.
The fact is that the DXY will have to take out levels like 100.20 to put buyers in control. As for the EURUSD, the pair would likely have to get below areas like 1.1275 and 1.1200 to reverse the trend.
Although Tuesday’s price action appears promising for a brief reversal, any hope of a more significant trend change requires more patience.
A EURUSD close below 1.1425 could trigger further weakness toward 1.1280. At the same time, a DXY daily close above 98.90 could attract buying pressure toward 99.80 to 100.00.
