• USD/JPY holds near 149 after ISM PMI improved from 48.0 to 48.7. Can NFP push the pair through 150 or trigger a pullback?
• USD/JPY extends higher after bouncing off the H4 Fair Value Gap (147.864–148.370) and is retesting the 149.00 resistance with 150.00 back in sight.
• BoJ’s cautious stance keeps the yield gap wide while U.S. data shows incremental improvement, sustaining dollar demand.
• A clean break above 149.00 unlocks a run toward 150.00–151.20; a firm rejection at 149.00 risks a dip back into 148.37–147.86 before NFP.

Why USD/JPY stays bid

Dollar-yen is trading heavy-on-the-upside: U.S. yields remain comparatively firm and the BoJ continues to signal patience on policy normalization, reinforcing the positive carry in favor of USD.

BoJ’s cautious stance: Policy divergence widens (concise)

The BoJ remains deliberately cautious, emphasizing the need for sustained wage-led inflation before meaningful tightening. With JGB 10-year yields near ~1% versus much higher U.S. Treasury yields, the carry incentive favors holding dollars over yen. That yield differential is a persistent structural tailwind for USD/JPY, keeping dips shallow and making pullbacks into demand zones (like your H4 FVG) buyable until the BoJ signals a firmer path to normalization.

ISM PMI: Missed forecast, but trend improved (why USD popped)

ISM Manufacturing PMI (Aug) printed 48.7, a touch below 49.0 forecast – but above the previous 48.0. Markets read that as stabilization rather than deterioration, and the USD caught a bid despite the “contractionary” label. This is a good reminder that direction of change often beats the absolute level.

Red-folder watch (this week)

• JOLTs Job Openings (Wed)
• ISM Services PMI (Thu)
• Nonfarm Payrolls + Unemployment Rate (Fri)

Technical outlook: H4 FVG bounce → 149 retest

USD/JPY has bounced off the H4 FVG (147.864–148.370) decisively and pressing back into 148.80–149.00, where supply capped prior attempts. That reaction confirms active demand inside the gap and keeps the bullish structure intact into Friday’s data.

Bullish scenario: FVG demand holds, breakout above 149 in play

On the chart, price reacted cleanly from the H4 Fair Value Gap (147.864–148.370), confirming it as a demand zone. That bounce carried USD/JPY back into the 148.80–149.00 resistance band, where sellers capped momentum previously. If bulls can force a breakout above this zone, the path toward the psychological 150.00 handle opens up.

• A sustained close above 149.00 signals continuation.
• Next liquidity rests at 149.50 before the round 150.00.
• Break of 150 unlocks extension targets at 150.70–151.20.
• FVG remains the defense line; pullbacks into 148.37–148.20 can act as continuation setups.

Bearish scenario: Rejection at 149, back into the gap

The same chart also highlights the risk: 149.00 is still acting as firm resistance. If price fails to clear this zone and prints rejection wicks or bearish engulfing patterns, sellers may regain control. That would likely send USD/JPY back into the H4 FVG (147.864–148.370) to test demand again.

• Failure at 149.00 brings downside back to the FVG mid-point (~148.20).
• Break below 147.864 signals demand exhaustion.
• If that occurs, price risks a deeper move to 147.20 → 146.80–146.20.
• Such a shift would frame the August rebound as distribution at premium pricing.

NFP game plan: Jobs data as the decider

Friday’s Nonfarm Payrolls (NFP) and Unemployment Rate will likely act as the catalyst that decides whether USD/JPY breaks cleanly above 149.00 or falls back into the H4 Fair Value Gap (147.864–148.370).

Bullish NFP outcome (supports breakout above 149)

If headline NFP beats expectations (>75K) and unemployment holds steady or drops:

• Markets will interpret it as labor resilience.
• Yields stay firm, reinforcing the dollar’s edge over the yen.
• USD/JPY would likely break above 149.00 quickly, targeting 149.50 → 150.00 into early next week.
• Strong upside surprise could even accelerate toward 150.70–151.20 liquidity zones.

Bearish NFP outcome (triggers rejection at 149)

If NFP misses (<75K) and unemployment ticks up (>4.3%):

• Dollar sentiment weakens, and yields soften.
• USD/JPY would likely reject 149.00, slipping back into the FVG for retests.
• Break below 147.864 exposes 147.20 → 146.80–146.20 downside liquidity.
• Weak data could reframe the recent rally as distribution at premium levels.

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RBC Capital Markets expects the pound to remain resilient in the short term, with forecasts showing GBP/USD and GBP/EUR holding firm before edging higher into year-end.

“Sterling is not without challenges, but near-term resilience is underpinned by relative rate support,” RBC wrote in its August currency report.

The Pound entered 2025 as the second-best performing G10 currency in the two previous years, and analysts had expected further outperformance over this year.

However, that strength failed to materialise and the consensus forecast for the third and fourth quarters of the year has been lowered.

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A run of disappointing economic data that includes rising unemployment and inflation are key culprits behind the GBP’s failure to live up to earlier expectations.

 But, by RBC’s reckoning, disappointing economic growth is now well understood by the market and incorporated into the price of Pound Sterling.

“Markets are prepared for weaker UK activity, which limits the scope for a significant repricing lower in GBP,” the report added.

The report argues that resilience seen through August reflects the Bank of England’s more cautious approach to policy easing compared with peers, with money markets now showing investors no longer see another interest rate cut at the Bank of England on the menu for the remainder of the year.

RBC adds that positioning is favourable, with a neutral market position (sell and buy contracts in the options market roughly similar) leaves room for fresh Sterling inflows if global sentiment steadies.

GBP/EUR Investment Bank Consensus Forecasts Cut

The median and mean forecasts, that provide a consensus forecast for GBP/EUR, have fallen.

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RBC expects the pound to outperform higher beta G10 currencies like AUD and NZD if global growth weakens in line with forecasts.

The bank now forecasts the Pound to Dollar exchange rate at 1.37 by the fourth quarter of 2025, compared with 1.36 currently, reflecting relative monetary policy support.

Against the euro, RBC expects EUR/GBP to ease to 0.85 by the fourth quarter, consistent with sterling retaining relative strength over the coming months.

This translates into a Pound to Euro exchange rate of 1.1765, up from the level of 1.16 at the time of writing. (You can book your target rate with an automatic order).

“We think GBP has relative defensive value within G10, which should allow it to outperform the more cyclical FX bloc,” the report said.

Above: After two years of gains, GBP/EUR has entered a period of softer trade.

Longer term, however, the bank remains cautious on sterling’s prospects, citing structural economic weaknesses.

“Near-term resilience does not change our longer-term view that structural imbalances will weigh on GBP,” RBC concluded.

The bank also warns that higher energy prices or looser fiscal policy could revive downside risks for the currency.

“Energy costs remain a structural vulnerability for the UK economy and could cap sterling upside if they flare again,” RBC wrote.

As of Wednesday, GBP/USD was trading at 1.3602 (+0.05%), EUR/GBP at 0.8574 (-0.02%), and GBP/JPY at 198.95 (+0.08%).

GBP/USD Price Slumps as UK Gilt Yields Hit Multi-Decade Highs

The British pound collapsed against the U.S. dollar, with GBP/USD falling as much as 1.2% intraday and erasing all the gains it posted after Jerome Powell’s dovish Jackson Hole speech on August 22. At the core of the decline sits the violent repricing of UK sovereign debt, where the 30-year gilt yield spiked to 5.69%, a level not seen since March 1998. That surge reflects growing concern over Chancellor Rachel Reeves’ heavy borrowing plans, ballooning deficits, and the heightened risk premium demanded by investors. The market drawdown draws strong parallels with the 2022 gilt crisis triggered by Liz Truss’s “mini-budget,” where unsustainable fiscal policy shattered confidence and sparked a sterling free-fall.

GBP/USD Technical Breakdown Accelerates Below Key Supports

On the technical front, GBP/USD slipped under its key moving averages, with the pair now trading below both the 20-day and 50-day levels. The 4-hour RSI sits deep in oversold territory, below 30, yet momentum remains bearish. Bears are targeting the medium-term pivotal zone between 1.3315 and 1.3280, defined by the 61.8% Fibonacci retracement of the early August rally and the ascending trendline from the January 13 low. Immediate resistance rests at 1.3460, and only a break above that level would neutralize the near-term bearish tone. If the pair pierces 1.3315 decisively, the path opens toward 1.3200 and potentially 1.3130, completing a deeper A-B-C-D bearish structure that has been unfolding since July.

Macro Headwinds from UK Fiscal Fragility

The market’s message is blunt: sterling’s weakness is driven by fiscal credibility fears. With borrowing costs surging, Reeves’ need to raise funds has unsettled gilt buyers who demand higher yields for long-dated paper. In April, revenues collapsed by more than 20% compared to last year, and the UK budget deficit continues to widen. Investors now view the Autumn Budget as a flashpoint for renewed volatility, with questions over whether Reeves can stabilize debt trajectories without aggressive tax hikes or spending cuts. As of September 2, sterling remains the weakest among major currencies on a rolling one-day basis, with the dollar posting a 1.1% gain versus GBP.

U.S. Data and Dollar Dynamics Drive Additional Pressure

Sterling’s slide is compounded by U.S. momentum. The Dollar Index (DXY) bounced back to 98.19, recovering from 97.54, bolstered by geopolitical safe-haven demand and anticipation of fresh PMI data. August’s ISM Manufacturing PMI is projected at 49.0, up from 48.0, with the Prices Paid component at 65.1 versus 64.8 prior. Friday’s nonfarm payrolls report looms even larger, with forecasts calling for a 75,000 job gain and unemployment at 4.3%. Traders assign an 89% probability of a September Fed rate cut, but strong employment could delay deeper easing. For now, the Fed’s trajectory and Trump’s attacks on the central bank’s independence add to dollar volatility, yet GBP/USD remains skewed to the downside as long as the UK’s fiscal credibility is under attack.

GBP/USD Short-Term Trading Signals and Market Positioning

Trading signals reflect that the bearish camp has regained firm control. Short positions are favored between 1.3520 and 1.3550, with stops just above 1.3570. Profit-taking zones stretch toward 1.3400, 1.3315, and 1.3280, with the latter forming the fulcrum of the medium-term outlook. A counter-trend long trade would only become attractive if GBP/USD breaks and holds above 1.3560, a threshold that would re-target the 1.3590–1.3639 zone. Market internals, however, suggest that such a bullish reversal is unlikely given the bond market rout. Liquidity grab patterns and repeated failures to hold above August’s breakout levels underscore the dominance of sellers.

Sterling Outlook and Risk Context

Sterling’s volatility is not isolated. Broader markets show gold rallying past $3,500 per ounce, the euro firming against the dollar, and U.S. yields bouncing on tariff headlines. In this global environment, GBP/USD lacks domestic support, with manufacturing PMI contracting at 47.0 for August compared with July’s 48.0. Meanwhile, dollar resilience is reinforced by global safe-haven flows as Eastern Europe tensions escalate. Unless UK policymakers restore credibility, the market will continue to test sterling’s lower bounds. The two-week high at 1.3540 posted earlier in the week has already been rejected, and key resistance at 1.3590 remains intact. With the fiscal story dominant, the near-term outlook remains bearish, pointing to continued downside pressure until gilt yields stabilize.

That’s TradingNEWS

EUR/USD Technical Analysis

The euro has fallen pretty significantly during the early hours here on Tuesday, as we have seen a continuation of the sideways action. With that being said, this is a market that I think continues to be somewhat noisy and somewhat rudderless, if you will. But we do have a range that we seem to be following. We have the 1.16 level offering support right along with the 50-day EMA now. But we have significant resistance near the 1.1750 level, followed by the 1.18 level. While I don’t necessarily expect a big move, I do expect to see continued stubbornness out of the US dollar through the week, really, due to the jobs number coming out on Friday.

USD/JPY Technical Analysis

The US dollar has rallied quite nicely against the Japanese yen, slamming right back into that 148.50 level. The question is, can we take off from here? If we can, it opens up a move to the 151 yen region, perhaps even higher than that. This is a strong candle, and it is a good sign, but the question is, can we follow through on the momentum? That might be a bit more difficult than imagined, but it is worth noting that after we fell apart there, we went sideways. We just sat still. And sometimes markets are about where they won’t go. In this case, they don’t seem to want to go down.

• The GBP/USD price analysis indicates escalating concerns about the UK’s fiscal health.

• The UK 30-year yield rose to its highest point since May 1998.

• The US will release its non-farm payrolls report on Friday, providing an update on the state of the labor market.

The GBP/USD price analysis indicates escalating concerns about the UK’s fiscal health, which is weighing on bonds and the pound. Meanwhile, traders are gearing up for the crucial US monthly employment report, which will shape the outlook for Fed rate cuts.

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The UK 30-year yield rose to its highest point since May 1998 amid worries about UK finances. As a result, the pound collapsed. The government has to balance heavy borrowing, a weak economy, and high inflation. However, investors have lost some confidence. Therefore, sterling could face a lot of downward pressure ahead of the next budget reading.

“While a repricing of Bank of England expectations had helped sterling last month, the UK is going to be vulnerable to fiscal risks as the autumn budget approaches, which is likely to remain a headwind for sterling,” said Rabobank’s head of FX strategy, Jane Foley.

Elsewhere, the US will release its nonfarm payrolls report on Friday, showing the state of the labor market. Further weakness could revive bets for a 50-bps cut. On the other hand, if the sector is resilient, rate cut expectations will ease.

GBP/USD key events today

GBP/USD technical price analysis: Bears challenge the 1.3401 support

On the technical side, the GBP/USD price has collapsed and is on the verge of breaking below the 1.3401 key support level. It trades well below the 30-SMA, showing bears are in the lead. At the same time, the RSI has dipped into the oversold region, indicating solid bearish momentum. Bears took over after bulls failed to continue the previous rally. 

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Although price action showed solid bullish momentum, the price remained in a corrective move, chopping through the 30-SMA. Bulls struggled to detach from the SMA and retest the 1.3575 key resistance level. As a result, bears returned and made an impulsive move below the SMA. 

A break below the 1.3401 support would solidify the bearish bias. Moreover, it would allow GBP/USD to retest the 1.3200 support level. On the other hand, if the support holds firm, bulls will return to target the 1.3575 resistance level.

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Created on September 02, 2025

• Bitcoin was very choppy during the trading session on Monday as we continue to see a lot of noise just below the crucial $110,000 level.
• This is an area that’s been important multiple times in the past, so it’s not overly surprising to see that what was once support has become significant resistance.
• If we can break above that level, then it opens up the possibility of a move to the $112,500 level.
• If we were to break above there, then the market could go looking at the 50 Day EMA, near the $113,500 level as well, where we see the 50 Day EMA.

Technical Analysis

The technical analysis for Bitcoin is starting to shift a bit, as we are halfway between the 50 Day EMA and the 200 Day EMA which is sitting underneath price. We have been extraordinarily bullish, but recently we see the market pull back a bit as there are a lot of concerns about risk appetite overall. Keep in mind that the market sitting between these 2 moving averages, which are both fairly flat, suggest that we are starting to see a bit of a shift.

The question at this point in time will continue to be whether or not Bitcoin has peaked to, or if this was just a simple pullback. I think that can be said about a lot of markets around the world, as we are going to see more volume in the market after the holiday season ends, roughly about now. At that point, we would have to wait and see how the market will behave, but it certainly looks like we are sitting at a level that will attract a lot of attention. Quite frankly, I suspect that Bitcoin will behave very much like NASDAQ does, as they are both Wall Street assets at this point.

Caution Ahead

I think you have to be very cautious going forward, and really at this point in time a lot of how you analyze Bitcoin will come down to your timeframe. I know some people are “Bitcoin believers”, suggesting that it really doesn’t matter the price they get in, because they will hold onto Bitcoin for the rest of their lives. For those who are a little bit short-term inclined, I’d be very cautious at this point and wait to see some significant bounce to start buying again. As far as shorting is concerned, there is a ton of support underneath so that makes things dangerous as well.

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Christopher Lewis has been trading Forex and has over 20 years experience in financial markets. Chris has been a regular contributor to Daily Forex since the early days of the site. He writes about Forex for several online publications, including FX Empire, Investing.com, and his own site, aptly named The Trader Guy. Chris favours technical analysis methods to identify his trades and likes to trade equity indices and commodities as well as Forex. He favours a longer-term trading style, and his trades often last for days or weeks.

Created on September 02, 2025

• The British pound has shown itself to be rather strong against the Japanese yen, but really at this point in time, we still face a mountain of resistance near the 200 yen level.
• This is an area that if you zoom out, you can see has been important multiple times going back a couple of years now, but it certainly looks like the pound is trying to build up enough pressure to finally break out.
• If we finally get a substantial break above the 200 yen level on a daily close, I think at that point in time, it kicks off a move toward the 202 yen level, followed by the 205 yen level.

Short-term pullbacks should end up being buying opportunities with the 198 yen level offering support.

50 Day EMA

I would also point out that right there at the 198 yen level, have the 50 day EMA, which of course attracts a lot of attention in and of itself. If we broke down below there, then we could drop to the 200 day EMA, which is basically at the 195 yen level. The interest rate differential does pay you to hang on to a long position in this market. And it is worth paying close attention to.

The size of the candlestick is impressive, but like I said, the big barrier just above is still something that’s going to be difficult to overcome. This is the biggest candlestick that we’ve seen in the last two weeks or so, and that is worth paying close attention to.

The interest rate differential is going to continue to get you paid if you are patient, but I would not pile into the market, at least not get aggressive until we get above the 200 yen level. If and when we do, then you can start to build a longer term position. But in the short term, I prefer to buy dibs.

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Christopher Lewis has been trading Forex and has over 20 years experience in financial markets. Chris has been a regular contributor to Daily Forex since the early days of the site. He writes about Forex for several online publications, including FX Empire, Investing.com, and his own site, aptly named The Trader Guy. Chris favours technical analysis methods to identify his trades and likes to trade equity indices and commodities as well as Forex. He favours a longer-term trading style, and his trades often last for days or weeks.

– Written by


Tim Boyer

STORY LINK Pound to Dollar Forecast: GBP to “Range Trade”, USD Outlook Under Pressure

The Pound to Dollar outlook (GBP/USD) has turned more positive, with the pair climbing to two-week highs around 1.3540 on Monday.

The latest exchange rate forecast suggests Sterling could test 1.36 as political turmoil, Fed independence fears, and uncertainty over Trump’s tariffs keep the dollar on the defensive. Investors are now focused on this week’s US jobs report and Bank of England commentary to set the next direction.

GBP/USD Forecasts: 2-Week Highs

The Pound to Dollar exchange rate (GBP/USD) has strengthened to 2-week highs at 1.3540 in Europe on Monday.

The dollar remained firmly on the defensive on Monday amid underlying fears surrounding Fed independence and fresh uncertainty surrounding President Trump’s tariffs.

Gold strengthened to near record highs and the Chinese yuan also posted gains with both elements a symptom of dollar weakness.

Key GBP/USD resistance comes in around 1.3590.

According to UoB; “GBP is likely to continue to range-trade, but a narrower range of 1.3420/1.3560 is likely enough to contain the price movements for now.”

US developments are likely to dominate during the week, although comments from the Bank of England will be watched closely.

ING expects a hawkish BoE stance and added; “This could leave GBP/USD in a position to test 1.3600 this week. Still, a break above there may be hard to sustain since our house view remains for a 25bp rate cut in November.”

US economic data will certainly be a key element this week with a series of jobs-related data including the crucial employment report on Friday following last month’s bombshell release.

Consensus forecasts are for a headline increase in non-farm payrolls of around 75,000 for August with the unemployment rate ticking higher to 4.3% from 4.2%, equalling the highest reading since November 2021. Data revisions will also be important.

Markets are pricing in over an 85% chance of a September rate cut.

According to MUFG; “another much weaker than expected nonfarm payrolls report on Friday could encourage expectations for the Fed to resume rate cuts with a larger 50bps cut weighing more heavily on the US dollar.”

ING added; “ING’s call is for three Fed rate cuts this year versus just 56bp of easing currently priced. If we’re right, this week’s jobs data could add to downside for short-term US rates and the dollar.”

Very strong data could trigger fresh doubts over a September move, although there will inevitably be question marks over the data following the firing of the BLS head after last month’s data.

Commerzbank Head of FX and Commodity Research Thu Lan Nguyen considers that President Trump’s attempts to fire Fed Governor Cook pose a major threat to the dollar.

According to the bank; “For those already uncomfortable with the attacks and outbursts against the Fed Chair and his colleagues now, just imagine what the situation would look like if inflation rises and the central bank signals the need for rate hikes.”

Nguyen is surprised that there has not been a bigger market reaction and puts it down to optimism that the checks and balances in the US constitution will be maintained.

As far as the Bank of England is concerned, ING commented; “we hear from a group of BoE members this Wednesday, testifying to the Treasury Committee. Presumably, they will mostly repeat their hawkish position, which sees the market pricing only 10bp of BoE rate cuts this year.”

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EUR/USD Holds 1.1700 as Fed Dovish Bets Collide With Trade Uncertainty

The EUR/USD pair is consolidating above 1.1707 after testing intraday highs of 1.1736, maintaining resilience despite thin U.S. trading volumes on Labor Day. August closed with the euro delivering a 2.4% monthly gain, its seventh positive month out of the last eight, underpinned by persistent dollar weakness and growing conviction that the Federal Reserve will cut rates at the September 16–17 meeting. Futures imply an 87–89% probability of a 25 bp reduction, while markets are debating whether a second cut before year-end is also possible.

Tariffs, Courts, and Trump’s Influence on Policy Drive Sentiment

U.S. trade policy is now a central driver for the EUR/USD. Fitch slashed its 2025–26 U.S. GDP forecast to 2.2% from 2.9%, citing tariffs that have risen to an effective 15–20% versus 2.5% last year. Oxford Economics estimates global GDP losses near $1 trillion over two years as higher tariffs filter through global supply chains. Meanwhile, a U.S. appeals court ruled Trump’s “reciprocal tariffs” illegal, but enforcement is delayed until October 14, giving the White House room to appeal. Trump has doubled down, claiming “More than $15 trillion” in investment depends on keeping tariffs intact. His rhetoric has fueled volatility, with investors weighing both the legal risks and the implications for Fed independence after his attempt to remove Governor Lisa Cook.

European Data Provides a Modest Cushion

Europe’s macro backdrop is mixed but slightly supportive for the euro. The Eurozone unemployment rate fell to 6.2% in July from 6.3%, reinforcing labor market stability. German inflation data surprised to the upside with HICP at 2.1% year-on-year, above 2% forecasts and the prior 1.8%. Manufacturing PMI for the bloc came at 50.7, higher than preliminary readings. These signals reduce pressure on the ECB to cut rates quickly, contrasting with the Fed’s dovish tilt. French political stress remains a drag: President Macron faces a confidence vote over his €44 billion budget package, and French 30-year yields surged to 4.46%, their highest since 2011, reviving worries about fiscal stability in the eurozone’s second-largest economy.

Technical Structure Suggests a Test of 1.1740–1.1830

Technically, EUR/USD trades above its 20-day EMA near 1.1662, keeping short-term momentum bullish. Resistance emerges at 1.1740, followed by 1.1785 and the July high at 1.1830. If bulls clear these levels, an extension toward 1.1900 is possible. On the downside, first support rests at 1.1695, then 1.1650, and finally 1.1610. The broader speculative range for September is framed between 1.1590 and 1.1850. RSI readings near 55 confirm moderate bullish bias, though intraday oscillators suggest short-term retracements cannot be ruled out.

Dollar Index Weakens as Fed Bets Intensify

The U.S. Dollar Index (DXY) has fallen to 97.55–97.70, down for four straight sessions. The decline reflects markets pricing Fed policy easing after core PCE rose 2.9% year-on-year, in line with forecasts but insufficient to prevent dovish repricing. Technicals show the DXY forming a descending triangle with support at 97.63, raising the risk of a slide toward 97.12 or even 96.74. This underpins euro demand, as institutional desks lean into the dollar selloff heading into U.S. labor data.

Labor Market Data Poses the Next Major Catalyst

Markets are focused on this week’s data avalanche: JOLTS, ADP, ISM services, and Friday’s Nonfarm Payrolls, expected at 78,000 jobs versus July’s 73,000. Unemployment is projected at 4.3%, a rise from 4.2%. A soft reading would likely fuel EUR/USD upside toward 1.1800, reinforcing Fed dovishness. A surprise beat, however, could see a correction back toward 1.1650. With CME futures showing nearly 90% odds of a September cut, the balance of risk suggests any downside will be capped, but intraday volatility will remain elevated.

EUR/USD Forecast Heading Into September

The euro-dollar cross enters September at 1.1710–1.1730, its highest levels in a week, holding a strong rebound from August’s low at 1.1575. The structure favors continued buying above 1.1650 with potential tests of 1.1740, 1.1785, and 1.1830 if data supports. A sustained move above 1.1830 would open the door to 1.1900, last seen in early summer. Conversely, a drop below 1.1650 would undermine bullish momentum and risk retests of 1.1610 or even 1.1528. Based on the balance of macro drivers, ECB stability, and Fed dovish tilt, EUR/USD remains tilted bullish, with traders favoring long setups into the September policy meetings.

That’s TradingNEWS