EUR/USD Price Analysis: Pair remains range-bound near 1.0505, struggles below 20-day SMA


  • EUR/USD edges slightly lower on Tuesday, hovering around 1.0505 and failing to gain traction.
  • RSI declines mildly to 43, remaining in negative territory and signaling limited buying interest.

The EUR/USD pair continues to tread water on Tuesday, inching down to 1.0505 and showing no clear directional bias. Despite recent attempts to stabilize above the 1.0500 mark, the pair remains capped by the 20-day Simple Moving Average (SMA) near 1.0550, underscoring the persistent headwinds facing any meaningful recovery.

Technical indicators offer a mixed picture. The Relative Strength Index (RSI) has dipped slightly while holding at 43, indicating subdued buying interest and keeping the pair firmly in negative territory. On the other hand, the Moving Average Convergence Divergence (MACD) histogram is printing rising green bars, suggesting some underlying bullish potential. However, this has yet to translate into a sustained push above the 20-day SMA.

Until EUR/USD decisively clears the 20-day SMA, the overall outlook remains tilted to the downside. Immediate support is seen at the psychological 1.0500 level, followed by the 1.0480 area and then the 1.0450 zone. A break below these supports could accelerate selling pressure, while a successful climb above 1.0550 would be needed to shift sentiment and improve the technical stance.

EUR/USD daily chart

 

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