EUR/USD: Testing Support Within Reload Zone, Watching for 1.14 Reclaim

Welcome to another Daily Technical Update on EUR/USD.

In today’s update, we’ll be focusing on the lower timeframes, as not much has changed structurally on the higher timeframes. Zooming in on the 4-hour chart, we’re following up on the idea discussed in yesterday’s report, where price pushed briefly higher out of the Reload Zone (RLZ)—the area between the 0.618 and 0.786 Fibonacci retracement levels.

That initial breakout was accompanied by a bullish engulfing candle, but the move was met with strong rejection, sending price back down toward the RLZ area. Currently, EUR/USD is hovering around this support zone, and we’re starting to see some signs of bullish momentum returning.

If price can reclaim the 1.1400 level and hold it as support, that may trigger a move toward the next upside target. The first initial FTA (First Trouble Area) sits at 1.14800—a level that may act as resistance if the upside move gains traction.

On the other hand, if bearish pressure persists, we’re watching the range lows at around 1.12780 as the next major level of support.

It’s also important to note that we have several high-impact economic news events scheduled for later today. These releases could serve as a catalyst for directional movement—either confirming bullish continuation or triggering further downside.

Make sure to keep an eye on the economic calendar when managing trades today.

Let’s now drop into the lower timeframes to better understand the structure within this current consolidation and assess short-term risk levels around the FTA zone.

1H Chart – Range Breakout in Focus, But Risk-to-Reward Remains Tight

Now that we’ve zoomed into the 1-hour timeframe, we can clearly see an important nuance: the level we marked on the 4-hour chart as a potential reclaim level for strength (1.1400) actually sits below the range highs visible on this lower timeframe.

This highlights the importance of using a multi-timeframe analysis approach—it allows us to see how key levels can behave differently depending on context and timeframe, helping to avoid false confidence or misaligned trade plans.

Looking at the 1H structure:

• Reclaiming 1.1400 remains a sign of strength
• But to confirm a range breakout, we need to see a decisive break and hold above 1.1440

A move above 1.1440 would signal a range breakout, with the first potential resistance being the FTA (First Trouble Area) at 1.14800.

However, with the distance between the range breakout and the FTA being relatively limited, the risk-to-reward profile might not appear favorable for some participants when considering direct breakout entries—particularly without a clearly defined continuation structure.

Some traders may choose to observe how price behaves if it does reach the FTA. In that case, a revisit of the 1.1440 breakout area—as marked with the white arrows on the chart—could become an area of interest. Should price re-test and hold that level, the next potential area of resistance could emerge near the 1.15600 zone, which aligns with recent local highs and may act as a natural barrier in the current structure.

On the downside, failure to break above the range highs keeps EUR/USD range-bound, and the levels to monitor are:

• Range Highs: 1.14300
• Range EQ: 1.13500
• Range Lows: 1.12800

These levels are key for navigating today’s price action—especially with high-impact economic news releases on deck. Make sure to manage your risk accordingly.

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