6 Mar 2015
EUR/USD weighed down by an upbeat US NFP – FXStreet
FXStreet (Barcelona) - Valeria Bednarik, Chief Analyst at FXStreet, gives the technical outlook for EUR/USD, with the pair extending its decline after the release of better than expected US employment report.
Key Quotes
“The EUR/USD traded significantly lower this Friday, falling as low as 1.0928, level not seen since September 2003, ahead of US Non Farm Payrolls figures."
“But the employment report resulted far better-than-expected, with the US creating 295K new jobs in February, and the unemployment rate ticking lower to 5.5%. Wages were on the weak side, as average hourly earnings yearly basis grew less than expected. The EUR/USD then extended its decline down to 1.0870 with following bounces limited below the 1.0900 price zone.”
“Technically, the 1 hour chart shows that the price extended far below a bearish 20 SMA whilst the indicators stand in extreme oversold levels.”
“In the 4 hours chart the technical picture also favors the downside, as the technical indicators head strongly south also in extreme levels. A weekly close around these levels or below, opens doors for a test of key 1.0760 the monthly lows of August and September 2003.”
“Support levels: 1.0870 1.0835 1.0800”
“Resistance levels: 1.0920 1.0960 1.1000”
Key Quotes
“The EUR/USD traded significantly lower this Friday, falling as low as 1.0928, level not seen since September 2003, ahead of US Non Farm Payrolls figures."
“But the employment report resulted far better-than-expected, with the US creating 295K new jobs in February, and the unemployment rate ticking lower to 5.5%. Wages were on the weak side, as average hourly earnings yearly basis grew less than expected. The EUR/USD then extended its decline down to 1.0870 with following bounces limited below the 1.0900 price zone.”
“Technically, the 1 hour chart shows that the price extended far below a bearish 20 SMA whilst the indicators stand in extreme oversold levels.”
“In the 4 hours chart the technical picture also favors the downside, as the technical indicators head strongly south also in extreme levels. A weekly close around these levels or below, opens doors for a test of key 1.0760 the monthly lows of August and September 2003.”
“Support levels: 1.0870 1.0835 1.0800”
“Resistance levels: 1.0920 1.0960 1.1000”