EUR/USD Strategy - USD Rebounds from Lows, Tariff Policies in Focus

Fundamental Analysis:

Recently, Trump has made frequent statements about implementing strict tariff policies on Canada and Mexico, and threatening 100% tariffs on countries moving away from the U.S. dollar. This has significantly heightened investor concerns over tariffs potentially reigniting inflation, limiting the Federal Reserve's room for future rate cuts. Consequently, U.S. Treasury yields have risen, driving the U.S. dollar higher.

Additionally, despite Israel signing a ceasefire agreement last week, ongoing tensions have raised safe-haven demand and lowered expectations for lasting peace, further supporting the dollar’s rebound.

Technical Analysis:

On the EUR/USD 15-minute chart, prices are trending within a descending range. If the price corrects into the supply zone, short positions can be entered before the correction completes. Set the stop-loss above the top of the range and aim for a 1:1 risk-reward ratio or extend the target to the current low for more flexibility.

Recommendation: Enter short at 1.05283 or a better price, set a stop-loss above 1.05369, and target 1.05197.

Support Level: 1.04957 Resistance Level: 1.05369

Disclaimer: The above content is for reference only and does not represent the platform’s stance. Stick to your strategy and manage risks effectively.