The Euro (EUR) trimmed earlier gains against the US Dollar (USD) on Monday, with the EUR/USD pair trading around 1.1723 after reaching an intraday high of 1.1755. The US Dollar Index (DXY) hovered near 98.47, rebounding from an intraday low of 98.22, as market sentiment remained fragile due to stalled US-Iran peace talks [1].
According to a report cited by Axios, Iran has presented a new proposal to the United States aimed at reopening the Strait of Hormuz and ending the ongoing war, while deferring nuclear negotiations to a later stage. However, uncertainty persists as Washington has not yet responded, and the plan is considered unlikely to be accepted by US President Donald Trump, who insists that curbing Iran's nuclear program is a prerequisite for any agreement [1].
Market participants are also focused on upcoming central bank meetings later in the week. Both the Federal Reserve (Fed) and the European Central Bank (ECB) are widely expected to keep interest rates unchanged, as inflation risks remain elevated due to high oil prices [1].
From a technical perspective, EUR/USD maintains a mildly bullish near-term bias, with prices stabilizing above the 50-, 100-, and 200-day Simple Moving Averages (SMAs), clustered between 1.1650 and 1.1710. The Relative Strength Index (RSI) is around 55, indicating constructive momentum, while the MACD has eased toward the zero line, suggesting moderating upside pressure. The ADX near 24 points to modest trend strength. Key support lies near 1.1600, with resistance around 1.1800 [1].
CONCLUSION
EUR/USD remains range-bound as markets await clarity on US-Iran negotiations and central bank policy decisions. The pair's technical setup suggests a supportive base, but further direction will depend on geopolitical developments and monetary policy signals.