EUR/USD languishes below 1.1850 following weak Eurozone sentiment data

💡 DMK Insight

The Euro’s struggle to break above 1.1850 against the Dollar signals ongoing bearish sentiment. After hitting a one-week low at 1.1828, the inability to reclaim 1.1850 suggests that sellers are still in control. This downtrend from last week’s high of 1.1925 could indicate a deeper correction is underway, especially if we see further weakness. Traders should keep an eye on the 1.1800 support level; a break below could trigger more selling pressure and push the Euro towards 1.1750. On the flip side, if the Euro manages to reclaim 1.1850 convincingly, it could set up a short-term rally, but that seems less likely given the current momentum. Watch for economic data releases from the Eurozone or the US that could impact sentiment. A strong US jobs report or inflation data could reinforce the Dollar’s strength, while any signs of Eurozone economic resilience might provide a temporary boost for the Euro.