EUR/USD 4H Technical and Fundamental AnalysisEUR/USD 4H Technical and Fundamental Analysis
EUR/USD has dropped approximately –0.7% over the past week following a sharp risk-off move driven by geopolitical and economic tensions. The major catalyst was President Trump’s announcement of a 30% tariff on EU goods effective August 1, which triggered a strong rally in the U.S. dollar and put the euro under heavy pressure. Broader market concerns also intensified as traders braced for further tariffs targeting sectors like copper and pharmaceuticals, compounding bearish sentiment. On our Technical Side EUR/USD recently broke below a major support zone at 1.1700, confirming a Change of Character (CHoCH) and signaling that sellers are now in control. After the break, the pair entered a phase of bearish accumulation, suggesting institutional positioning ahead of a deeper move. A liquidity grab was observed above the previous short-term high, forming a potential stop-loss hunt a common smart money tactic before a major drop. The market now appears poised for another liquidity sweep before triggering our area of interest.
A clear break and close below 1.16870 would likely confirm continuation toward the next minor support at 1.16270, aligning with bearish momentum.
📌 Sell Setup:
Entry: Sell stop at 1.16870
Stop Loss: 1.17140 (above liquidity zone)
Take Profit: 1.16270 (next key support zone)
These developments are reinforcing downside pressure on the euro, while the U.S. dollar remains well-supported by risk aversion and safe-haven flows.
📌 Disclaimer:
This is not financial advice. Always wait for proper confirmation before executing trades. Manage risk wisely and trade what you see—not what you feel.
