Original analysis by Hector Rogers at FXDailyReport.com
Source: https://fxdailyreport.com/forex-technical-major-pairs-analysis-october-17-2025/
Forex Technical Analysis for Major Currency Pairs – October 17, 2025
On October 17, 2025, the forex market continued to reflect the impact of ongoing economic developments, geopolitical uncertainties, and central bank policies. Technical levels remain critical for traders to identify potential breakouts, reversals, or continuation patterns. This analysis reviews the major forex currency pairs, offering a detailed look at key levels and possible scenarios for short to medium-term trading decisions.
EUR/USD
The EUR/USD pair experienced mild weakness in recent sessions, gradually testing support near 1.0600. The euro remains under pressure from dovish Eurozone inflation reports and relatively stronger US data, particularly as expectations remain high for a sustained hawkish policy stance by the Federal Reserve.
Key Technical Insights:
– The pair stayed below the 1.0680 resistance level, which now acts as a strong ceiling.
– Downside risk increases as long as the price hovers beneath the trendline resistance close to 1.0650.
– Immediate support is at 1.0600; a clear break below this line could trigger a further decline toward 1.0500 in the coming sessions.
– RSI and MACD indicators on the daily chart are showing bearish momentum, further confirming potential for continued selling pressure.
– If a reversal occurs and a breakout above 1.0680 happens, the next target is at 1.0780.
Trader’s Strategy:
– Bearish sentiment continues unless there’s consolidation above 1.0680.
– Short positions could be considered on a retracement toward resistance, with stops above 1.0700.
– Long trades should be cautious unless the pair breaks above 1.0750 with volume confirmation.
GBP/USD
GBP/USD has entered a consolidation phase after a strong recovery earlier in the month. Trading between 1.2200 and 1.2350 has become the dominant pattern, with market participants awaiting more clarity on UK inflation and Bank of England monetary signals.
Technical Highlights:
– Price action is forming a potential symmetrical triangle on the daily chart.
– Resistance is located at 1.2350, followed by the psychological 1.2400 mark.
– The key support level is now around 1.2200, with further support near 1.2100.
– A break below 1.2200 could reintroduce bearish momentum toward the 1.2000 level.
– Indicators remain neutral, suggesting possible prolonged sideways price action.
Trader’s Strategy:
– Watch for confirmed breakouts above 1.2350 or below 1.2200 for future direction.
– Range traders can exploit moves between 1.2200–1.2350 with tight stop-loss placement.
– UK economic data releases should be monitored for potential breakout catalysts, including CPI inflation and any BoE policy commentary.
AUD/USD
The Australian dollar was weighed down by weaker commodity prices and concerns about Chinese economic performance, Australia’s largest trading partner. The central resistance area near 0.6400 is keeping further bullish moves limited.
Technical Overview:
– A strong bearish trend persists below the 0.6400 resistance region.
– The major support to monitor is around 0.6280, previously a reversal zone.
– Below 0.6280, the next level of support can be found near 0.6200.
– Any upside correction may face resistance at 0.6400 and 0.6450.
– Daily RSI remains below 50 and sloping downward, indicating continued conviction among sellers.
Trade Considerations:
– Short positions are favored unless the pair breaks and sustains above 0.6450.
– Any consolidation near 0.6280 could offer a short-to-medium-term bounce opportunity, but upside is expected to
Explore this further here: USD/JPY trading.