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ForexUpdated×3•Originally published 24 August 2026•Updated 24 August 2026•
1 min read

EUR/USD Breaks Resistance at 1.1740, Threatening Three-Month Trading Range

Key Facts

1The EUR/USD pair reached its highest level since May 2026, driven by dollar weakness and improving European economic data.
2The US Treasury's decision to expand its bond buyback program contributed to the decline of the US currency.

In a move reflecting accelerating bullish momentum for the single currency, the EUR/USD pair has broken through key resistance levels to reach near 1.1740. This surge is driven by the US Treasury's decision to expand its bond buyback program, which increased dollar liquidity and pressured the greenback, alongside continued expansion in Germany's industrial sector for August according to reports.

Economic data highlights a significant improvement in sentiment, with Eurozone Economic Sentiment hitting 31.4, beating the 25.4 forecast, while German sentiment jumped to 34.2 per market data released on August 18, 2026. This robust performance, coupled with a decline in consumer inflation expectations to 2.9%, provided the necessary catalyst for the pair to clear its previous resistance at 1.1710.

From a technical perspective, the move to 1.1740 threatens to break a sideways trading range that has persisted for three months, potentially opening the path toward the 1.1791 level. Market participants are now focused on the upcoming US Core PCE price index, which will be critical in confirming this breakout or seeing a return to test support levels at 1.1565.

Latest Updates · 1

  1. Notable·

    Update: The EUR/USD pair is currently trading near the 1.17 level as persistent US dollar weakness supports the Euro's elevated position. Investors are now closely monitoring whether the Federal Reserve can maintain its restrictive monetary stance amid emerging signs of a cooling US economy.