Flash: NFP looms. EUR/USD at 1.3670. Where to now? – Commerzbank and OCBC Bank

FXstreet.com (Edinburgh) -The shared currency is trading almost unchanged on Tuesday, with the EUR/USD gyrating around 1.3660/70 ahead of the delayed release of the employment data in the US economy. It is worth recalling that market consensus expects the economy to have created 180K jobs and the jobless rate to remain at 7.3%.

Karen Jones, Head of FICC Technical Analysis at Commerzbank, argued the pair “has held the initial test of the 1.3670/1.3711 resistance area which we still expect to cap… There is some divergence of the daily RSI, which depicts a loss of upside momentum. Dips back from here are likely to find some support at 1.3575 ahead of 1.3515”.

Strategist Emmanuel Ng at OCBC Bank remarked the importance of today’s US releases, saying, “The pair may continue to be capped around 1.3705 ahead of the US labor market numbers tonight and any hint of a positive surprise from the numbers may invite a consolidation towards 1.3645”.