The EUR/USD pair weakened to fresh multi-year lows around 1.0960 ahead of US employment figures, still heavy after ECB's QE details announcement last Thursday. The pair accelerated south after breaking below the 1.1000 level with the European opening, with no actual catalyst behind current dollar strength. Earlier today, the EZ released its GDP figures, matching expectations yearly and quarterly basis: the area grew 0.3% in the last quarter of 2014, with the annual reading printing 0.9%.
The market waits now for the US employment figures, and consensus is for a strong 235K new jobs added in February, with a lower unemployment rate of 5.6% and higher wages. Despite the 4 hours chart shows that the pair is extremely oversold, as the RSI indicator heads strongly south around 18, a reading above expected should trigger a fresh sell-off in the common currency, pointing to test 1.0920 against the greenback. If the pair falls beyond this last, next support for the day comes at 1.0870, but doors will stay open for a continued decline towards the 1.0760 level next week.
To the upside, 1.1000 comes as the immediate resistance, the level to watch if the numbers disappoint, with an extension above it pointing for a rally up to 1.1060.
View Live Chart for EUR/USD
The market waits now for the US employment figures, and consensus is for a strong 235K new jobs added in February, with a lower unemployment rate of 5.6% and higher wages. Despite the 4 hours chart shows that the pair is extremely oversold, as the RSI indicator heads strongly south around 18, a reading above expected should trigger a fresh sell-off in the common currency, pointing to test 1.0920 against the greenback. If the pair falls beyond this last, next support for the day comes at 1.0870, but doors will stay open for a continued decline towards the 1.0760 level next week.
To the upside, 1.1000 comes as the immediate resistance, the level to watch if the numbers disappoint, with an extension above it pointing for a rally up to 1.1060.
View Live Chart for EUR/USD
Recommended Content
Editors’ Picks
EUR/USD rises toward 1.0700 after Germany and EU PMI data
EUR/USD gains traction and rises toward 1.0700 in the European session on Monday. HCOB Composite PMI data from Germany and the Eurozone came in better than expected, providing a boost to the Euro. Focus shifts US PMI readings.
GBP/USD holds above 1.2350 after UK PMIs
GBP/USD clings to modest daily gains above 1.2350 in the European session on Tuesday. The data from the UK showed that the private sector continued to grow at an accelerating pace in April, helping Pound Sterling gather strength.
Gold price flirts with $2,300 amid receding safe-haven demand, reduced Fed rate cut bets
Gold price (XAU/USD) remains under heavy selling pressure for the second straight day on Tuesday and languishes near its lowest level in over two weeks, around the $2,300 mark heading into the European session.
Here’s why Ondo price hit new ATH amid bearish market outlook Premium
Ondo price shows no signs of slowing down after setting up an all-time high (ATH) at $1.05 on March 31. This development is likely to be followed by a correction and ATH but not necessarily in that order.
US S&P Global PMIs Preview: Economic expansion set to keep momentum in April
S&P Global Manufacturing PMI and Services PMI are both expected to come in at 52 in April’s flash estimate, highlighting an ongoing expansion in the private sector’s economic activity.