EURUSD Weekly Analysis
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Past Performance is not an indicator of future results.
The weekly EURUSD is examined on several levels:
1. Head and shoulders top (blue rectangles). The positively sloped aqua line shows the pattern's neckline. The vertical aqua line derives the pattern's target following its breakout. The target is 1.1134 and is academic - it may or may not be achieved. However, it does give the sense of bearishness associated with breakdown.
2. Price action shows a series of lower peaks followed by lower troughs. Thus, there is a defined downtrend. Moreover, the momentum of the trend is represented by the orange downsloping trendline.
3. The stochastic is maintaining its lower quintile reading (red rectangle). The longer the stochastic stays at these levels, the more downside pressure is applied to the EURUSD pair.
Eurozone inflation is at risk of breaching ECB target levels. However, the ECB has not tightened in policy yet. As such, the single currency has devalued. This, in itself, is inflationary i.e. the Eurozone will import higher levels of inflation as its currency weakens.
Russell Shor
Senior Market Strategist
Russell Shor is a Senior Market Strategist at FXCM, having been promoted to the role in 2025 in recognition of his depth of insight and consistent delivery of high-impact market analysis. He originally joined FXCM in October 2017 as a Senior Market Specialist.
Russell holds an Honours Degree in Economics from the University of South Africa, is a certified FMVA®, and a full member of the Society of Technical Analysts (UK). With over 20 years of experience in financial markets, his work is renowned for its clarity, precision, and strategic value across asset classes.
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