Euro pauses briefly against the US dollar instead of pulling back.

On July 4, 2025, the euro traded against the US dollar in a narrow range of 1.1775 to 1.1754, with the US market closed for the Independence Day holiday. Better-than-expected US employment data on Thursday pushed the euro against the dollar down from 1.1800 to 1.1717. The market is long on the euro against the dollar through forex and options, which may slow down its further rise. However, investors are not in a rush to cut their long positions, with buying interest still visible on price declines. On Monday, a large volume of forex options will expire at 1.1770, which will help limit the downside potential for the euro against the dollar. After the release of the non-farm payroll report, the implied volatility of options significantly decreased, reflecting the consolidation phase of the current forex market. The high point since July 2021 at 1.1830 remains a resistance level, with options barriers at 1.19 and 1.20. Next week, there will be a large volume of forex options expiring at 1.1700, which could provide support for any pullback in the euro against the dollar.