EUR/USD Keeps Range Near 1.1150 Post-PMIs, Awaits NFP
The EUR/USD pair is consolidating the previous slide around the mid-point of 1.11 handle, shrugging-off a series of services PMI reports from across the Euro area economies, as focus remains on the US labour market data due later in the NA session.
EUR/USD capped below hourly 200-SMA at 1.1159
Currently, EUR/USD trades almost unchanged at 1.1154, unable to take-out hourly 200-SMA resistance located at 1.1159. The main currency pair moves back and forth in 15-pips extremely narrow range so far this session amid minimal volatility, as the major awaits the fresh impetus from the US jobs data in a bid to shape up next direction.
Moreover, ECB’s cautious tone on the inflation outlook during the ECB decision also continues to remain a drag on the EUR. While mixed services PMI reports from the Euroland also failed to lift the sentiment around euro-dollar. The services sector activity in Germany and Eurozone as a whole improved in May, with the German services sector rebounding to 55.2 points in May, after the country booked a reading of 54.5 in its final reading in April.
All eyes remain on the non-farm payrolls number from the US, which is forecast to remain steady at 160,000, with the unemployment rate projected to improve to 4.9%. Traders will also pay close attention to average hourly earnings figures as well.
EUR/USD Technical Levels
In terms of technicals, the pair finds the immediate resistance 1.1210 (20 & 100-DMA). A break beyond the last, doors will open for a test of 1.1250 (round number) On the flip side, the immediate support is placed at 1.1126/24 (May 25 Low/ Daily S1) below which at 1.1099 (200-DMA) could be tested.