Euro Forecast: EUR/USD Clears 2024 High to Push RSI into Overbought Zone
EUR/USD bounces back ahead of the monthly low (1.0778) to clear the 2024 high (1.1214).
Share this:
Euro Outlook: EUR/USD
EUR/USD bounces back ahead of the monthly low (1.0778) to clear the 2024 high (1.1214), with the rise in the exchange rate pushing the Relative Strength Index (RSI) back into overbought territory.
Euro Forecast: EUR/USD Clears 2024 High to Push RSI into Overbought Zone
EUR/USD rallies to a fresh yearly high (1.1242) after completing a cup-and-handle formation earlier this month, and the move above 70 in the RSI is likely to be accompanied by a further advance in the exchange rate like the price action from earlier this year.
Join David Song for the Weekly Fundamental Market Outlook webinar.
David provides a market overview and takes questions in real-time. Register Here
In turn, the Euro may continue to appreciate against its US counterpart as EUR/USD carves a series of higher highs and lows, and the exchange rate may attempt to test the 2023 high (1.1276) as it pushes above the opening range for April.
With that said, the rally in EUR/USD may persist as the cup-and-handle formation seems to be unfolding, but the RSI may show the bullish momentum abating should it struggle to hold above 70.
EUR/USD Chart – Daily
Chart Prepared by David Song, Senior Strategist; EUR/USD on TradingView
- EUR/USD pushes above the monthly opening range to approach the 2023 high (1.1276), with a break/close above the 1.1260 (61.8% Fibonacci extension) to 1.1280 (61.8% Fibonacci retracement) region opening up the 1.1390 (78.6% Fibonacci extension) to 1.1440 (61.8% Fibonacci extension) zone.
- Next area of interest comes in around 1.1560 (100% Fibonacci extension), but EUR/USD may struggle to extend the recent series of higher highs and lows should it fail to test the 2023 high (1.1276).
- Need a move/close below 1.1170 (50% Fibonacci retracement) to bring the 1.1070 (23.6% Fibonacci retracement) to 1.1090 (38.2% Fibonacci extension) zone back on the radar, with the next area of interest coming in around 1.0940 (50% Fibonacci retracement) to 1.0960 (23.6% Fibonacci extension).
Additional Market Outlooks
GBP/USD Reverses Ahead of March Low to Stage Three-Day Rally
USD/JPY Eyes October Low as China Responds to Trump Tariffs
Canadian Dollar Forecast: USD/CAD Rebound Fizzles amid Trump Tariff Negotiations
AUD/USD Selloff Persists as US Threatens Additional 50% Tariff for China
--- Written by David Song, Senior Strategist
Follow on Twitter at @DavidJSong
Related tags:
Latest market news
Open an account in minutes
Experience award-winning platforms with fast and secure execution, and enjoy tight spreads from 0.5 pts on FX and 0.3 pts on indices.
Economic calendar
Web Trader platform
Our sophisticated web-based platform is packed with features.
Related articles
US Dollar Short-term Outlook: USD Rally on the Line as Midterms, NFP Loom 11 3 2026
DXY is testing pivotal support, with the weekly range breakout likely to determine the next major leg of the trend as key event risk unfolds.
Nasdaq 100 forecast: Stocks rebound but AI concerns linger
The Nasdaq 100 was finding some support at 28,000 after recent sell-off amid concerns about the AI trade. Even with oscillators oversold, the risk to the near-term forecast is tilted to the downside.
Silver outlook: a return to the 2011 high tests $49 to $50 support
Silver is testing key support at $49 to $50, the area of its 2011 high, and has yet to bounce. A bullish reversal candlestick would make the picture more constructive, but for now the near-term forecast hangs in the balance.
This report is intended for general circulation only. It should not be construed as a recommendation, or an offer (or solicitation of an offer) to buy or sell any financial products. The information provided does not take into account your specific investment objectives, financial situation or particular needs. Before you act on any recommendation that may be contained in this report, independent advice ought to be sought from a financial adviser regarding the suitability of the investment product, taking into account your specific investment objectives, financial situation or particular needs.
StoneX Financial Pte. Ltd., may distribute reports produced by its respective foreign entities or affiliates within the StoneX group of companies or third parties pursuant to an arrangement under Regulation 32C of the Financial Advisers Regulations. Where the report is distributed to a person in Singapore who is not an accredited investor, expert investor or an institutional investor (as defined in the Securities Futures Act), StoneX Financial Pte. Ltd. accepts legal responsibility to such persons for the contents of the report only to the extent required by law. Singapore recipients should contact StoneX Financial Pte. Ltd. at 6826 9988 for matters arising from, or in connection with the report.
In the case of all other recipients of this report, to the extent permitted by applicable laws and regulations neither StoneX Financial Pte. Ltd. nor its associated companies will be responsible or liable for any loss or damage incurred arising out of, or in connection with, any use of the information contained in this report and all such liability is hereby expressly disclaimed. No representation or warranty is made, express or implied, that the content of this report is complete or accurate.
StoneX Financial Pte. Ltd. is not under any obligation to update this report.
Trading CFDs carries a high level of risk that may not be suitable for some investors. Consider your investment objectives, level of experience, financial resources, risk appetite and other relevant circumstances carefully. The possibility exists that you could lose some or all of your investments, including your initial deposits. If in doubt, please seek independent expert advice. Visit www.forex.com/en-sg/terms-and-policies for the complete Risk Disclosure Statement.