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The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
In a move reflecting intensified selling pressure on the single currency, the EUR/USD pair has officially broken through the critical support level of 1.1575. According to technical reports, this breach signals a resumption of the broader downtrend originating from the 1.1848 peak, shifting the intraday bias from neutral to decidedly bearish.
This technical breakdown follows a divergence in macroeconomic strength, as the US ISM Manufacturing PMI outperformed expectations at 54 (versus a forecast of 53), bolstering the Greenback. Meanwhile, per market data on June 1, 2026, the Eurozone unemployment rate held at 6.3%, a figure that failed to provide sufficient fundamental support to offset the technical deterioration.
Looking ahead, the technical outlook now targets 1.1408 as the next downside objective, with risks persisting as long as the pair remains below the new resistance at 1.1685. Traders should focus on upcoming speeches by Fed Chair Jerome Powell and Governor Waller on June 1, 2026, which will be pivotal in determining the pair's trajectory toward its new targets.
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Sign InUpdate: Recent technical analysis suggests the decline from 1.1848 may have completed its correction at 1.1575, shifting the intraday bias mildly to the upside. However, a decisive break below this support is now expected to extend the decline toward the 1.1408 level.
Update: The EUR/USD pair was trading at 1.1613 on Friday, June 5, 2026, as the US dollar remained on track for weekly gains. This strength is partly driven by ongoing geopolitical uncertainty in the Middle East, which has bolstered safe-haven demand for the Greenback against major peers.