The EUR/USD pair fell below 1.1550 on Thursday during the Asian session, April 2, struggling to hold onto gains from the past two days. Renewed demand for the safe-haven US Dollar (USD) followed US President Donald Trump’s warning that Iran could face severe consequences in the coming weeks, including potential strikes on its energy infrastructure. This raised crude oil prices and fueled inflation concerns, reinforcing expectations of a US Federal Reserve rate hike and adding pressure on the euro.

Bearish Signals Persist

From a technical perspective, EUR/USD could not sustain above the 200-period EMA on the 4-hour chart. Resistance lies at the 1.1620–1.1625 zone, which aligns with prior swing highs.

• The MACD is sliding back toward the zero line, suggesting bullish momentum is fading.
• The RSI sits near 50, indicating indecision and a lack of directional conviction after failing to hold overbought levels.

Immediate support is seen at 1.1520, with a potential drop to the 1.1485–1.1450 area if the level fails. On the upside, the 1.1580 and 1.1610–1.1620 zones remain key barriers for any bullish recovery.

USD Performance Against Major Currencies

The USD has strengthened broadly today. It is particularly strong against the New Zealand Dollar, followed by gains versus the Australian Dollar, British Pound, Japanese Yen, Swiss Franc, Canadian Dollar, and Euro. Meanwhile, the euro and other major currencies are showing small losses or minimal gains against the USD, reflecting the current market preference for safe-haven assets amid geopolitical uncertainty.

Key Levels to Monitor

Investors should monitor key EUR/USD levels carefully. Resistance zones are at 1.1580 and 1.1610–1.1620, while support lies at 1.1520 and the 1.1485–1.1450 range. A sustained move above resistance could revive bullish sentiment, whereas a break below support may signal deeper losses. Keeping an eye on these levels helps traders and investors time entries or exits more effectively.

Investor Takeaways

Given the current market environment, investors should remain cautious and consider risk management strategies. Short-term traders may look for selling opportunities near resistance levels, while longer-term investors could hedge against potential USD strength.

Staying updated on geopolitical developments, Fed announcements, and crude oil movements is crucial. Diversifying currency exposure and avoiding over-leveraging positions can help manage downside risks. Ultimately, patience and disciplined execution are key in navigating volatile EUR/USD conditions.