EUR/USD Around 1.1400, a Typical Range-Play Ahead of NFP?
As we step into the NFP Friday, traders shift to the side-lines amid increased nervousness, keeping EUR/USD absolutely flat-lined around 1.14 handle.
EUR/USD stalls a 3-day slide
Currently,
EUR/USD trades almost unchanged at 1.1405, oscillating in about 25-pips
tight range around 1.14 mark. The main currency is seen consolidating
the downside and now strives hard to build onto gains above 1.14 handle,
thus, bringing an end to its three-day losing streak.
The
EUR/USD pair finds support from negative sentiment seen on the Asian
equities as tumbling oil prices weighed down on the resource and energy
sector stocks. Moreover, adding to the risk-off market profile, a
typical cautious scenario before the US jobs data also underpins the
safe-haven bids for the euro.
In the day ahead, the major is
expected to extend its side-trend in absence of fresh fundamental
triggers from the Euro land. Hence, all eyes remain on the main risk
event for this week, the US payrolls data due
later in the NA session. Markets are expecting a robust 200,000
increase in payrolls coupled with a respectable 0.3% gain in hourly
wages. The US employment report will help the Fed on its next Fed rate
hike decision.
EUR/USD Technical Levels
In terms of technicals, the pair finds the immediate resistance at 1.1464/68 (5-DMA/ daily R1). A break beyond the last, doors will open for a test of 1.1500 (round number). On the flip side, the immediate support is placed at 1.1386/80 (May 5 Low) below which at 1.1351/33 (Apr 29 Low) could be tested.
