EUR/USD price steadies near $1.1590 as bulls test resistance after breakout from consolidation
EUR/USD breaks above 1.1540 base but faces rejection at 1.1622 supply zone
The EUR/USD pair is trading near 1.1590 in early June 24 trading, after a sharp upside move from the 1.1450–1.1470 region. The breakout came after price reclaimed liquidity above the previous 1.1540 high, triggering a short-term trend acceleration.
Highlights
- EUR/USD surged from 1.1450 to 1.1622, breaking past key liquidity levels before minor rejection.
- Indicators signal cooling momentum, with bearish RSI divergence and MACD histogram turning red.
- Pullback toward 1.1540 or 1.1470 remains likely if 1.1625 fails to break on strong volume.
However, rejection around 1.1622 which is a historically reactive supply zone, has prompted early signs of exhaustion.
EUR/USD price forecast (Source: TradingView)
Volume patterns on the 4-hour chart indicate lower buyer engagement near 1.1610–1.1620. This zone previously acted as a reversal point and is now producing similar price hesitation. A minor correction into the 1.1530–1.1540 zone remains plausible, especially as momentum indicators cool off.
Short-term indicators show weakening momentum
On intraday charts, RSI has dropped to 54 after printing a bearish divergence near 1.1622. MACD has also flipped bearish on the 1-hour and 30-minute charts. Meanwhile, the 4-hour Bollinger Bands show the price nearing the upper limit, and EMAs (20/50/100/200) remain positively stacked, with the 100 EMA and prior demand overlapping at 1.1470. This makes the 1.1470–1.1450 region a crucial support zone if the pullback deepens.
The Supertrend flipped bullish on the 4-hour chart near 1.1480 and remains intact. However, DMI signals are starting to flatten, with ADX sliding below 17—implying weakening trend strength. Bulls must hold 1.1540 or reestablish pressure above 1.1625 to resume upside momentum.
Outlook favors bullish trend if support holds
The broader trend remains bullish, but the recent wick rejections near 1.1622 suggest a pause. A breakout above 1.1625 could open a path toward 1.1700, while a failure to hold 1.1450 risks dragging the pair toward 1.1350. Traders will watch for reaction at the BOS level near 1.1540 and deeper demand around 1.1470 as key pivots.
Previously discussed sessions emphasized the breakout potential above 1.1540 and highlighted 1.1450 as a key demand base. Today’s action validates those zones as pivotal points for continuation or correction.
