EUR/USD Eyes Breakout as PCE Data Looms Wednesday

EUR/USD has carved out a constructive breakout structure heading into Wednesday's PCE Price Index release, with price action holding above prior resistance-turned-support. The pair's momentum has been buoyed by dovish signals emerging from recent FOMC minutes, which have weighed on dollar demand across the board. Traders are watching whether the pair can sustain its push through recent highs or whether profit-taking emerges ahead of the inflation print. A confirmed close above the breakout zone would open the door to further upside, while failure to hold could see a retest of lower support levels as volatility picks up into the data release.

Key levels remain in focus as the market braces for a potentially market-moving print that could reshape near-term Fed rate expectations and, by extension, EUR/USD directional bias.