🔍 Fundamental Overview
EUR/USD traded sideways last week, supported by dollar weakness and mixed Eurozone data. The pair shows potential for a mild bullish correction if key resistance levels break.
Eurozone:
• Inflation: CPI rose to 2.2%, with services inflation at 3.2%, keeping ECB cautious on rate cuts.
• ECB Outlook: No aggressive easing expected; policy remains data-dependent.
• Political Climate: French reforms paused, but short-term stability maintained.
United States:
• Fed Policy: Markets price in a strong probability of an October rate cut (>90%).
• Macro Risks: Government shutdown delays data releases, adding uncertainty.
• Banking Sector: Regional bank stress and credit losses weigh on USD sentiment.

📊 Technical Analysis
• Price Action: Consolidating near 1.1650; upside potential if 1.1740 breaks.
• RSI: Around 50 – neutral zone.
• MACD: Slight bullish divergence forming.
Support Levels:
• 1.1580 – key short-term support
• 1.1550 – secondary support
• 1.1490 – extended downside
Resistance Levels:
• 1.1740 – breakout trigger
• 1.1800 – psychological barrier
• 1.1880 – extended upside

📈 Trading Scenarios
✅ Bullish Setup:
• Entry: Above 1.1740 with confirmation
• Targets: 1.1800 ➡ 1.1880
• Stop-Loss: Below 1.1580
• Catalysts: Fed dovish tone, weak U.S. data, risk-on sentiment
❌ Bearish Setup:
• Entry: Below 1.1580
• Targets: 1.1550 ➡ 1.1490
• Stop-Loss: Above 1.1740
• Catalysts: Strong U.S. data, hawkish Fed surprises