EURUSD is holding a bullish bias, but price is approaching a dense resistance cluster that may determine the next directional move. The most important level in focus is 1.1622, which stands out as the key breakout trigger for a continuation higher.
A recent liquidity sweep adds weight to the setup, suggesting the market may be testing available orders before choosing its next path. Whether buyers can force a clean move through resistance or sellers defend the zone will likely shape the short-term structure.
Market Snapshot
EURUSD is being assessed in a short-term technical context, where price structure remains constructive after a liquidity sweep and subsequent recovery. The pair is trading into a notable overhead supply area, leaving the market at an important decision point.
In plain English, the prevailing bias is still mildly bullish as long as price remains supported above 1.1505 and continues to challenge higher resistance. However, the advance is not yet confirmed until EURUSD can decisively clear the upper boundary of the current resistance band.
Key Levels
- Support: 1.1505
- Resistance: 1.1613, 1.1622, 1.164, 1.17
These levels matter because they mark prior reaction areas and potential zones of order concentration. The 1.1613 to 1.1640 region appears to function as a supply band, while 1.1622 is the level that could confirm renewed upside momentum if broken with conviction.
Bullish Scenario
The bullish path remains valid if EURUSD can build acceptance above 1.1613 and then produce a strong break through 1.1622. That kind of move would suggest buyers are absorbing supply rather than simply testing it, opening the door to an extension toward 1.1640 first and then the wider 1.1700 target zone.
For the upside case to look credible, traders would typically want to see follow-through rather than a brief intraday spike. A sustained push above the resistance cluster would reinforce the idea that the earlier liquidity sweep helped clear weaker positioning and reset the trend for another leg higher.
Bearish Scenario
The bearish alternative emerges if EURUSD is rejected from the 1.1613 to 1.1640 supply zone and fails to hold above 1.1622. In that case, the resistance area would remain intact, signaling that buyers were unable to convert pressure into a breakout.
A move back lower from this zone would shift focus toward 1.1505 as the main support level. If price rotates down and loses that floor, the bullish structure would be invalidated in the near term, with scope for a deeper pullback as short-term sentiment cools.
What to Watch
Macro catalysts remain especially important for EURUSD because the pair is highly sensitive to interest-rate expectations and relative growth outlooks between the euro area and the United States. Traders will likely monitor major economic releases such as inflation data, labor-market reports, and central-bank communication for signs that could strengthen or weaken the current directional bias.
Session timing also matters. EURUSD often sees its most meaningful technical breaks during the overlap between the London and New York sessions, when liquidity is deepest and institutional participation is strongest. A breakout above 1.1622 or a rejection from the resistance band during that window could carry more technical significance than a move in thinner trading conditions.
Beyond the pair itself, the broader US dollar tone, sovereign bond yields, and overall risk sentiment can help confirm or challenge the chart setup. If the dollar softens broadly while EURUSD presses against resistance, the bullish scenario may gain traction. If the dollar firms and momentum fades near 1.1613 to 1.1640, the bearish rejection case becomes more credible.
EURUSD is approaching a technically important zone where both continuation and rejection scenarios remain plausible. Price action around 1.1622 and the broader 1.1613 to 1.1640 area should provide a clearer signal on whether the pair is preparing for a move toward 1.17 or setting up for a deeper retracement.
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