EURUSD corrects modestly lower to start the week. Swing area stalling the initial fall.

The EURUSD is undergoing a modest pullback today after last week’s steady climb. Last week, the pair rallied from Monday’s low to Friday’s high, breaking above key moving averages (MAs) and swing areas along the way. The final push higher saw the price move above a significant swing zone between 1.0453 and 1.0467, an area that has acted as both support and resistance since November 2024.

Initially, sellers emerged when the price entered this zone, leading to a minor corrective move on Friday. However, buyers regained control, pushing the pair higher into the week’s close.

Today’s corrective decline has brought the price back to the upper boundary of this swing area, where support buyers have stepped in once again. This level will be a key bias-defining zone to start the week—staying above it could signal continued upside momentum.

On the resistance side, the next upside target is a swing area between 1.0532 and 1.0543. A sustained move above this level would open the door toward the 38.2% retracement of the September 2024 to January 2025 decline, which sits at 1.0572.

Adding further significance to this level, the falling 100-day moving average is expected to reach 1.0572 within the next day or so. This convergence could act as a strong technical barrier, making it a crucial level to watch in the coming sessions.

This article was written by Greg Michalowski at www.forexlive.com.