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29/09/25
54
EUR/USD Remains Range-Bound Amid US Shutdown Uncertainty
The EUR/USD currency pair remains closely balanced early Monday, maintaining modest gains above the 1.1700 level amid cautious trading conditions. After ending the previous week in negative territory, the euro has found some support as the US dollar struggles to attract significant demand. Concerns surrounding a potential US government shutdown appear to be weighing on the greenback, prompting renewed interest in euro positions.
Political negotiations are ongoing in Washington, where President Trump is scheduled to meet with congressional leaders from both parties to negotiate the funding legislation necessary to avert a shutdown. Market attention is also focused on the possibility that the Bureau of Labor Statistics may face difficulties releasing the September employment report, which would include critical data on nonfarm payrolls and the unemployment rate. These indicators are closely monitored by the Federal Reserve, especially if the government shutdown extends into the middle of the week. Meanwhile, the upcoming release of Pending Home Sales figures for August is unlikely to significantly influence market sentiment.
Technically, the EUR/USD pair is exhibiting signs of consolidation, with the Relative Strength Index on the four-hour chart holding near the midpoint, suggesting neutrality. The current support zone is near 1.1690-1.1700, defined by a combination of the 200-day simple moving average and a Fibonacci retracement level. A successful hold above this area could encourage further upward movement towards resistance levels at 1.1750 and 1.1770, with additional targets around 1.1820. Conversely, failure to sustain gains above support could see the pair decline towards 1.1640 or even 1.1580, with technical levels aligning with Fibonacci retracements.
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