EURUSD Weakens as US-Iran Ceasefire Collapses – Sell Rallies?

EURUSD pared some of its gains on escalation of geo political tension. It strikes an intraday low of 1.13961 and is now trading about 1.14099..

The vulnerable US-Iran ceasefire has quickly broken after fresh US military actions brought about retaliatory attacks targeting Kuwait and Bahrain, with Tehran alleging that Washington broke the agreement amid rising hostilities noted on July 7–8. The Strait of Hormuz has again become a flashpoint and causes worry over possible interruptions to world trade, oil supplies, and regional stability. Markets have reacted by pricing in greater geopolitical risk premiums, especially in crude oil, Gulf shipping, defense stocks, and safe-haven assets, while experts advise that more attacks or maritime incidents may set off broader spillover effects. Important events to follow are continuing strikes, any mediation efforts to restore negotiations, and events in the strait as a de-escalation signal may rapidly reduce tensions while more attacks would probably keep market volatility high.

Major support- 1.13700/1.12946. Near-term resistance- 1.4500/1.14800/1.1500/1.1530.

It is good to sell on rallies around  1.1418.-20 with SL around 1.1455  for a TP of 1.13600/1.1300..