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The EUR/USD pair trades uneventfully around 1.1200, as the market waits for the US Nonfarm Payroll report. The pair holds around the high posted at 1.1238 on Thursday, its highest since last October. The American dollar got smashed this week, when a series of bad news, added to previous speculation that the US growth was slowing ever since late 2015. 

Today's release is  expected to show that the US economy have added 190K new jobs in January, compared to the 292K added in December. The unemployment rate is expected to remain steady at 5%, whilst average hourly earnings, monthly basis, are expected to rise by 0.3%. It won't be strange to see a revision of December headline number. It will a balance of all this 3 numbers plus any revision what can set the tone for the greenback, but generally speaking, poor figures will likely put the greenback under pressure.

View the Live chart of the EUR/USD


Technically, the 4 hours chart shows that the recent consolidation in price, has helped technical indicators to correct partially, albeit both remain in extreme overbought territory, while the 20 SMA has extended its advance up to 1.1050, all of which favors the upside. A break above 1.1245 on bad news, can take the pair up to the 1.1300 level, while a weekly close around this last, will leave doors opened for a test of the 1.1460 next week, a major long term resistance.

A good number  can give the greenback a lift that can accelerate on profit taking ahead of the weekend, particularly due to the large weekly advance. The pair has an immediate support at 1.1160, followed by a stronger one at 1.1120.  Below this last, buying interest should surge between 1.1050/80.

Latest updates on the EUR/USD Forecast

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