EUR/USD: Bull cross confirmed, Fed rate cut odds rise ahead of US Nonfarm Payrolls

  • EUR/USD’s hourly chart is flashing a golden crossover. 
  • Rising odds of an October Fed rate cut are weighing over the US Dollar. 
  • The next big move in EUR/USD largely depends on the US Nonfarm Payrolls data, due at 12:30 GMT. 

EUR/USD is flashing green for the fourth straight day with key indicator flashing bullish conditions ahead of the all-important US Nonfarm Payrolls data. 

The currency pair is currently trading at 1.0978, representing 0.13% gains on the day, having hit a high of 1.0984 in the Asian trading hours. The pair eked out moderate gains in the previous three trading days. 

Bull cross 

The 50-hour moving average (MA) has crossed above the 200-hour MA, confirming a golden crossover – a bull market indicator. Hence, the pair looks set to extend the ongoing recovery rally from recent lows near 1.0880.

Fed rate cut odds rise

Traders are currently pricing more than 80% chance of 2019's third 25 basis point rate cut at the Federal Reserve’s Oct. 30 meeting. The probability stood at 64% on Wednesday and 40% on Monday, according to CME’s FedWatch tool.

The rising odds of an October Fed rate cut also support the bullish view put forward by the hourly chart golden crossover. 

Focus on the US Payrolls

The data due at 12:30 GMT is expected to show the economy added 145K jobs in September following 130K additions in August. Meanwhile, the Average Hourly Earnings are seen rising 3.2% year-on-year and the Unemployment Rate is forecasted to stay unchanged at 3.7%. 

A weak data would bolster the dovish Fed expectations, sending the US Dollar lower across the board. 

EUR/USD will likely come under pressure and possibly drop to 1.09 if the data beats estimates by a big margin, forcing markets to price out the prospects of a rate cut on Oct. 30.

Apart from the payrolls, the pair may also take cues from the US Trade Balance. Also, a number of Fed officials, including Chairman Powell, are scheduled to speak during the American trading hours. 

The US Dollar will likely pick up a strong bid if Powell downplays the need to cut rates on Oct. 30.

Technical levels


Today last price 1.0978
Today Daily Change 0.0003
Today Daily Change % 0.03
Today daily open 1.0975
Daily SMA20 1.1001
Daily SMA50 1.1065
Daily SMA100 1.1154
Daily SMA200 1.1234
Previous Daily High 1.0999
Previous Daily Low 1.0941
Previous Weekly High 1.1026
Previous Weekly Low 1.0905
Previous Monthly High 1.111
Previous Monthly Low 1.0885
Daily Fibonacci 38.2% 1.0977
Daily Fibonacci 61.8% 1.0963
Daily Pivot Point S1 1.0944
Daily Pivot Point S2 1.0913
Daily Pivot Point S3 1.0885
Daily Pivot Point R1 1.1002
Daily Pivot Point R2 1.103
Daily Pivot Point R3 1.1061



Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Forex News

Editors’ Picks

EUR/USD hits three-month highs above 1.1150 amid relentless USD selling

EUR/USD extends the advance above 1.1150, hitting fresh three-month highs amid relentless US dollar selling and the upbeat market mood. The focus remains on the Eurozone/ US PMIs.


GBP/USD regains 1.2400 ahead of UK Manufacturing PMI

GBP/USD climbs back above 1.2400 as the US dollar sees a fresh leg lower in early Europe. Calls of further help to British employees add to the upside momentum. The UK/US PMIs eyed ahead of Tuesday's Brexit talks. 


FX Today: USD hit by escalating US riots, risk-on mood; US ISM PMI eyed amid light trading

The US dollar took a beating across the board starting out a new month/ week, as markets breathed a sigh of relief on the US’ softer stance on China. The dollar weakness was also backed by the escalating riots in the US cities, with curfews imposed on major cities. 

Read more

Gold: Teasing a rectangle breakout, $1750 in sight

Gold bulls gathering pace for the next push higher. The extension of last week’s rally in the yellow metal is mainly driven by the sell-off in the US dollar across the board, in the wake of US-China trade war relief and escalating US riots.

Gold News

WTI: Overbought RSI challenges the bulls above $35.50

WTI seesaws around 7-week-old resistance line, retreats from highest since March 11. A short-term ascending trend line on the bears’ radars during the pullback. 100-day SMA, 61.8% Fibonacci retracement together offers strong upside barrier.

Oil News