Euro Futures (6E) appears to be grinding lower showing clear signs of fading bullish momentum.
After a bounce off 1.16160 support on July 17, Euro Futures (6E) made a failed push into 1.17995 resistance on Tuesday, July 22, a level that’s acted as a firm ceiling since June 26.
Since then, price action has been in a descending broadening channel, often a precursor to further downside with expanding volatility as sellers control the tempo.
As of 5:20 AM GMT, the structure points to continued weakness. I expect 6E to settle around 1.17170 – 1.16990 by close of Wednesday, July 23, 2025.
📉 Bias: Bearish
🔍 Pattern: Broadening Descending Channel
🕒 Date: July 23, 2025
After a bounce off 1.16160 support on July 17, Euro Futures (6E) made a failed push into 1.17995 resistance on Tuesday, July 22, a level that’s acted as a firm ceiling since June 26.
Since then, price action has been in a descending broadening channel, often a precursor to further downside with expanding volatility as sellers control the tempo.
As of 5:20 AM GMT, the structure points to continued weakness. I expect 6E to settle around 1.17170 – 1.16990 by close of Wednesday, July 23, 2025.
📉 Bias: Bearish
🔍 Pattern: Broadening Descending Channel
🕒 Date: July 23, 2025
Trade active
Euro Futures (6E) bearish bias softens as tariff tensions easePrice action was grinding lower in a descending broadening channel, pointing toward a bearish close. However, the fundamental landscape has shifted:
🔹 The EU and US appear to be nearing a trade deal to settle on 15% reciprocal tariffs, avoiding Trump’s threatened 30% hike.
🔹 This follows a similar agreement with Japan, hinting at broader trade stabilization.
🔹 The Euro has recovered intraday losses with buyers jumping in heavily as the market prices out immediate trade war fears.
🔹 Weak US housing data also pressured the dollar slightly.
🧭 Revised View:
While structure still favors a bearish bias, I no longer expect price to settle as low as 1.17170–1.16990. Watch for a more neutral-to-mildly bearish close, unless new data flips sentiment again.
📉 Bias: Bearish (Softening)
🔍 Pattern: Descending Broadening Formation
🕒 Updated: July 23, 2025 | 12:00 GMT
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.