EUR/USD & Oil Analysis: Key Trading Opportunities Identified

EUR/USD remains under pressure near 1.0800 as diverging economic outlooks between the US and Eurozone continue to favor dollar strength. The pair has declined 1.2% this week, with technical indicators suggesting further downside potential toward 1.0750 support. Meanwhile, WTI crude oil futures have rallied to $78.50/barrel, up 3.5% on the week, driven by tightening supply concerns and geopolitical tensions in the Middle East. The oil price surge is creating additional headwinds for the euro, as higher energy costs threaten to worsen Europe's economic outlook while potentially boosting inflationary pressures. For EUR/USD, immediate resistance stands at 1.0835 (50-day MA), while a break below 1.0750 could accelerate losses toward 1.0700. Oil's correlation with USD strength suggests traders should monitor energy markets closely, as sustained crude rallies above $80 could indirectly support further EUR/USD weakness through risk-off sentiment and dollar safe-haven flows.