EUR/USD pair is awaiting a continuation of the rise — technical analysis indicates potential for an increase above 1.1735

VitaliksTwin · 2026-01-15T13:52:17+00:00

The EUR/USD pair shows renewed buying interest near 1.1710, recovering from Monday's losses. The U.S. dollar's weakness and expectations of stable interest rates from the Fed support the euro's strength, with key resistance at 1.1735 indicating a potential bullish trend.

VitaliksTwin

2026-01-15 13:52:17

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EUR/USD rebound gains momentum in Asian markets

Tuesday brought a renewed interest from buyers in the EUR/USD pair around the 1.1710 level, continuing a solid rebound after Monday’s losses. The rate then fell to nearly a four-week low near 1.1660 but quickly found support. Currently, EUR/USD is quoted at 1.1735, representing a 0.10% increase since the session opened. The scenario for the coming days appears to favor further strengthening of this currency pair.

What supports the euro amid a weaker dollar?

The weakness of the US dollar has persisted for the second day — USD is retreating from the highest levels since December 10, reached on Monday. The market increasingly expects the Federal Reserve to maintain a hawkish stance, and prospects for interest rate cuts are gradually fading. At the same time, speculation about the European Central Bank (ECB) ending its rate cut cycle supports the euro, thereby strengthening EUR/USD.

Resistance at 1.1735 — a strategic moment for bulls

The 1.1735 level is a key turning point for the current trend direction. This resistance coincides with the 100-hour simple moving average (SMA) and the 50% Fibonacci retracement drawn from the decline from 1.1808 to 1.1660. Breaking through this area would confirm the continuation of the bullish scenario and open the way to higher levels.

Technical indicators indicate bullish strength

Analysis of the MACD indicator — a convergence-divergence of moving averages — recently shows a move into positive territory along with a clear upward trend. This observation suggests increasing buying momentum. Additionally, the RSI indicator is at 59, leaving room for further growth before the market becomes overbought. The combination of signals from the MACD and RSI strengthens the optimistic outlook for EUR/USD.

Where to look for resistance and support?

The nearest significant resistance is located around the 61.8% Fibonacci retracement, which passes through the midpoint of the 1.1700 range. If EUR/USD manages to break clearly above this level, it would signal a continuation of the corrective rebound. Otherwise, failure to break through could lead the rate to retreat into a consolidation range where it was previously trading.

The above assessment uses insights supported by artificial intelligence tools.

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