EUR/USD: A double top bearish reversal? – OCBC

Euro (EUR) extended its move lower over the past few sessions as geopolitical escalation unnerved sentiments. Pair was last at 1.1450 levels, OCBC's FX analysts Frances Cheung and Christopher Wong note.

Potential double top pattern has formed

"Bullish momentum shows signs of fading while RSI fell further. Potential double top pattern formed – typically associated with bearish reversal. Immediate support at 1.1420 (21 DMA), 1.1360 (50 DMA) and 1.1280 (23.6% fibo retracement of 2025 low to high)."

"We do not rule out a flush out of stagnant longs as markets re-assess risks. Resistance at 1.1570, 1.1630 (recent high). We remain constructive on the outlook but also respect the near-term retracement momentum."