**Forex Major Pairs Technical Analysis: December 19, 2025**
*Adapted and expanded from the original by FXDailyReport.com*
The global foreign exchange market continues to reflect shifts in macroeconomic fundamentals, central bank policy, and geopolitical developments. As the year approaches its end, traders are recalibrating positions in response to major announcements, with particular attention on the US dollar, the euro, the British pound, the Japanese yen, and other major currencies. This comprehensive technical analysis provides actionable insights for key currency pairs as of December 19, 2025, emphasizing trend direction, support and resistance levels, and likely scenarios for the coming sessions.
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## **EUR/USD: Stagnation Near Key Resistance**
The EUR/USD has lingered near important resistance, as eurozone growth lags while the US grapples with inflation uncertainties.
– **Technical Overview**
– The pair trades around 1.0950, notably close to its 200-day moving average.
– Momentum indicators, such as RSI and MACD, reveal persistent indecision with neither side dominating.
– Previous rallies have struggled to sustain above the 1.1000 psychological barrier.
– **Support Levels**
– Immediate: 1.0890 (recent swing low)
– Medium: 1.0830 (support from early December)
– Major: 1.0700 (multi-month base)
– **Resistance Levels**
– Initial: 1.1000 (psychological round figure)
– Next: 1.1075 (October high)
– Strong: 1.1200 (major supply zone)
– **Outlook**
– A clear break above 1.1000 could invite momentum-driven buying, with the next upside target near 1.1075.
– On the downside, sustained weakness below 1.0890 could encourage further unwinding toward 1.0830.
– **Fundamental Factors**
– Divergent US and Eurozone monetary policy underpins rangebound trading.
– Markets are awaiting concrete evidence of either a European recovery or Federal Reserve policy pivot before establishing a firm directional bias.
– **Additional Insights**
– According to Bloomberg, recent statements from ECB officials suggest that rate cuts may not arrive until Q2 2026, which could continue to weigh on the euro.
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## **GBP/USD: At a Crossroads Amid Policy Uncertainty**
GBP/USD has struggled to hold gains above its recent highs as the Bank of England maintains a cautious approach.
– **Technical Overview**
– Currently fluctuates near 1.2700, with price action forming a tightening range over the past two weeks.
– The pair has tested, but failed to close, above the 1.2800 ceiling.
– 50-day and 100-day moving averages are converging, indicating possible breakout conditions ahead.
– **Support Levels**
– 1.2650 (minor
Read more on AUD/USD trading.