During Asian trading on Tuesday, the EUR/USD dipped slightly, hovering around 1.1530, with not much change observed, keeping within the range set on Monday. Investors are closely monitoring major currency pairs as they await Iran’s final stance on the U.S. ceasefire proposal, which is set to expire at 8 PM ET today.
As of now, the US Dollar Index (DXY), measuring the dollar’s value against six primary currencies, is showing a slight uptick at around 100.10.
With US President Donald Trump’s deadline approaching, Mohammad Berger Ghalibaf, an advisor to the Iranian parliament’s speaker, mentioned that Iran has roughly 20 hours to respond. He warned that failure to comply would lead to dire consequences, asserting that Iran has no intention of backing down. He criticized Trump’s threats as “delusional” and claimed they do not compensate for America’s previous failures in the region.
On the home front, all eyes are on the upcoming release of the March Federal Open Market Committee (FOMC) meeting minutes set for Wednesday. The Fed recently decided to maintain interest rates unchanged, keeping them in the range of 3.50% to 3.75%.
EUR/USD Technical Insights
The EUR/USD pair opened around 1.1530 on Tuesday. The short-term sentiment appears somewhat bearish, given that the price is lingering just below the 20-day exponential moving average (EMA) around 1.1560, struggling to break past that dynamic resistance level.
The 14-day Relative Strength Index (RSI) is situated in the mid-40s, indicating a negative but not alarming situation, aligning with a general market decline during a consolidation phase. A downward resistance trend line established around 1.1660 continues to impede any potential rebound, and recent low closes beneath this line indicate that sellers are in control in the near term.
The initial resistance level sits near the 20-day EMA at 1.1560. A breakthrough here could reveal further resistance at a downtrend line around 1.1600, followed by the high from March 10 at 1.1666. Conversely, an ascending support trendline from the 1.1410 vicinity is currently providing support at around 1.1470. A daily close below this level would likely lead to the next support level at 1.1410. As long as the pair remains under 1.1600, attention will rest on whether the 1.1470-1.1410 support band can withstand the ongoing bearish pressure, although a pullback seems probable to satisfy selling activity.
(The technical analysis in this piece was generated with AI assistance.)
