The following is a rewritten and expanded version of the original article “Pairs in Focus: 03rd to 08th August 2025” by DailyForex.com, crediting the original author while adapting the article to be at least 1000 words long with added detail and structured bullet points.
Title: Weekly Forex Technical Outlook: Pairs in Focus from August 3 to August 8, 2025
Original Source: DailyForex.com
Original Author: DailyForex Analysts
URL: https://www.dailyforex.com/forex-technical-analysis/2025/08/pairs-in-focus-03th-to-08th-august-2025/232132
Introduction:
As we enter the first full trading week of August 2025, major Forex pairs continue to react to ongoing macroeconomic news, central bank guidance, and technical structures across multiple timeframes. As major central banks like the Federal Reserve, European Central Bank (ECB), and Bank of Japan (BoJ) hold their respective interest rates and policies under intense investor scrutiny, traders are watching key levels for signs of breakout or reversal.
This weekly technical outlook provides a comprehensive analysis of major currency pairs including EUR/USD, GBP/USD, USD/JPY, AUD/USD, and USD/CHF covering both short-term (H4) and long-term (daily, weekly) conditions to help guide traders through the upcoming sessions.
EUR/USD – Bullish Momentum Testing a Critical Zone
The EUR/USD pair has shown solid upward momentum during the past week, advancing towards a critical resistance barrier as economic data from the Eurozone showed resilience, while soft U.S. data pressured the USD.
Key Observations:
– Recent bullish structure suggests continued appetite for risk, supported by strong gains above 1.0900
– Consolidation above 1.1000 indicates sustained bullish sentiment, especially if a daily close holds above this level
– The RSI on the daily chart shows an upward slope without entering overbought territory, indicating possible continuation
– Key resistance stands at 1.1100 and 1.1145, which are swing highs from May and June respectively
Bullish Scenarios:
– A daily close above 1.1100 would confirm continuation of the rally toward 1.1200
– If the pair remains above the 20-day moving average (currently around 1.0980), bulls remain in control
Bearish Scenarios:
– Failure to hold above 1.1000 could prompt retracements to 1.0950 and 1.0900
– A break below 1.0875 could shift market bias to neutral or bearish, especially on risk-off flows following weaker Eurozone inflation data
Forecast:
With improving data out of the Eurozone and potential for a dovish Fed tone in upcoming speeches, EUR/USD is likely to stay supported. Watch for confirmation through candle closes above 1.1100 for bullish continuation.
GBP/USD – Facing Resistance After Solid Breakout
GBP/USD surged above the 1.2800 resistance last week as dovish Fed sentiment and improved risk appetite lifted demand for risk-oriented majors. UK PMI numbers, while mixed, remained sufficiently stable to support the GBP’s move higher.
Key Observations:
– Clear breakout from short-term descending channel indicates shift in near-term momentum to the upside
– RSI and MACD on daily suggest strength, but some divergence is emerging, signaling potential overextension
– Key resistance lies near 1.2960 and the psychological 1.3000 mark, where selling interest may intensify
Bullish Scenarios:
– Sustained trade above 1.2840 opens path toward 1.2965 and potentially 1.3050 if UK data remains solid
– A close above 1.3000 would bolster long-term bullish technical structure
Bearish Scenarios:
– Failure to hold near-term support at 1.2840 could cause a pullback to 1
Explore this further here: USD/JPY trading.