EURUSD Analysis: Corrective Pullback Deepens, Major Support Levels in Focus

In this comprehensive analysis, Ultima Markets brings you an insightful breakdown of the EURUSD for October 9, 2025.

Technical Analysis of EURUSD

EURUSD Daily Chart Insight

• The overall outlook for EURUSD on the daily time-frame is cautiously bullish, as the pair maintains a clear long-term uptrend while currently undergoing a short-term corrective pullback. The Stochastic Oscillator is in the oversold region below the 20 level, suggesting that recent selling momentum may be exhausted or overextended and increasing the probability of a bounce or consolidation near current levels.
• Key Levels: The most critical support level is the medium-term moving average (black line), currently located around 1.1650, which has held as support on multiple occasions and serves as a crucial line of defense for the bulls. If the 1.1650 level is breached, the next significant area of horizontal support is the swing low from late July around 1.1450. The ultimate long-term support is the slower-moving average (green line), currently trending around 1.1350, and a drop to this level would represent a major correction but could still keep the primary uptrend intact.

EURUSD 2-Hour Chart Analysis

• The most recent candles show a small rally off the lows, which appears to be a minor pullback or consolidation after a significant sell-off rather than a full-fledged reversal. The Stochastic Oscillator is rising from oversold territory below 20, and the faster line has crossed above the slower line, which typically signals waning downward momentum and supports the case for the current corrective bounce.
• Breakout Scenarios: The most likely scenario, given the prevailing trend, is for the current corrective bounce to fail at one of the resistance levels, likely the purple moving average or the 1.1700-1.1740 zone, and a subsequent break and sustained close below the 1.1610 support level would confirm the continuation of the downtrend with sellers likely targeting the 1.1600 level and lower. For a bullish reversal to be considered, the price must overcome significant hurdles, as a move and close above the key resistance zone of 1.1700-1.1740 would be the first major sign that bearish pressure is abating, while a true bullish breakout would require the price to clear the 1.1760 swing high, which would break the pattern of lower highs and signal a potential short-term trend change.

EURUSD Pivot Indicator

• The price is currently testing the medium-term moving average from below, which is a common place for a corrective rally to stall and for the dominant trend to resume. The Stochastic Oscillator is in the overbought region above 80 and appears to be showing a bearish crossover with the blue line crossing below the red line, indicating that recent buying momentum is exhausted and increasing the probability of a downward move from the current resistance.
• Bearish Continuation: Given the overbought stochastic and the rejection at the key black moving average, the highest probability scenario is a bearish continuation, which would be confirmed by a break below the immediate support of the purple moving average around 1.1630. A definitive breakdown and sustained close below the major support at 1.1605 would signal a strong resumption of the downtrend.
• Bullish Breakout: For bulls to gain control in the short term, they need to achieve a decisive close above the immediate resistance cluster of the black moving average and the recent high between 1.1645 and 1.1650. A successful breakout would invalidate the immediate bearish pressure and open the way for a test of the major resistance at the green moving average around 1.1670.

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Comments, news, research, analysis, price, and all information contained in the article only serve as general information for readers and do not suggest any advice. Ultima Markets has taken reasonable measures to provide up-to-date information, but cannot guarantee accuracy, and may modify without notice. Ultima Markets will not be responsible for any loss incurred due to the application of the information provided.