The EUR/USD, EUR/GBP, and GBP/USD currency pairs remain under pressure following former U.S. President Donald Trump’s announcement of 25% tariffs on steel and aluminum imports. While market sentiment remains cautious, these pairs are attempting to stabilize as they approach key technical levels.
EUR/USD Attempts to Rebound After Decline
EUR/USD slipped below its 55-day simple moving average (SMA) at $1.0355, as the tariffs fueled uncertainty. This level now serves as minor resistance, while the pair finds support at the January-February lows, ranging between $1.0224 and $1.0178. These levels are expected to hold unless further bearish momentum emerges.
EUR/GBP Extends Decline Towards Key Support
EUR/GBP continues its downward trend, approaching the mid-October and Monday lows at £0.8296-£0.8292. If this support fails, the next critical level to watch is the late December low at £0.8264.
On the upside, minor resistance is seen just below the 55-day SMA at £0.8361, with additional barriers at the mid-to-late December highs of £0.8325-£0.8328.
GBP/USD Struggles to Hold Above Support
GBP/USD remains under pressure, trading near its upper downtrend channel line at $1.2415, which now acts as resistance. The 55-day SMA at $1.2380 provides immediate support, along with last week’s low at $1.2361.
A break below this level could lead to further declines, with key support levels at the early January low of $1.2353, the mid-January high of $1.2307, and last Monday’s low of $1.2250.
Meanwhile, major resistance remains between the late January high of $1.2524 and last week’s peak of $1.2550.
Traders remain cautious as market volatility continues in response to trade policy shifts, with key technical levels playing a crucial role in price action.
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