Overall, EURUSD is currently in a state of “weak upward movement within a larger trend but facing clear selling pressure.” In terms of news, the US-Iran tensions are driving capital back into the USD as a safe-haven asset. This is creating a foundation for a short-term decline, especially as the market shifts to a risk-on sentiment.
On the H4 chart, the price had a strong upward move earlier but is now consolidating at the resistance zone around 1.1730. The price pattern is forming as a distribution with progressively higher highs and lows, indicating weakening buying pressure. Notably, the price has begun to break through the short-term support zone around 1.1620 ā a signal that sellers are gradually gaining control.
Ichimoku is also supporting a bearish scenario as the price shows signs of retesting the cloud, and the Tenkan and Kijun lines are starting to move sideways ā the upward momentum has been lost. If the price continues to close below the 1.1620 area, it is highly likely to extend to the depth around 1.1550 ā the next support zone on the chart.