Back
7 Mar 2014
Flash: EUR/USD pressuring highs ahead of US Non Farm Payrolls - FXStreet
FXStreet (Barcelona) - Valeria Bednarik, FXStreet Chief Analyst notes that as expected, markets had been in consolidation mode ever since Asian opening, waiting for the release of US Non Farm Payroll data.
Key Quotes
“The EUR/USD has remained steady above the broken trend line coming from the all time high of 1.6038, and even completed a pullback to it before bouncing to reach fresh year highs around 1.3882.”
“The strong upward acceleration following ECB decision to leave economic policy unchanged suggest the pair is ready for another leg higher, probably towards fresh highs beyond 1.3900,past December high, albeit cautious investors are rather waiting a confirmation of what is being largely suspected and rumored over the last few weeks: that the US employment sector remains subdue and therefore, the country’s economic recovery.”
“Given that picture, investors are now mostly waiting for a disappointing number to rush into buying mode and trigger a strong upward continuation, eyeing 1.3920 immediate short term resistance, ahead of key 1.4000 figure.”
“But what if the number overcomes expectations? In that case and only if the reading is well above the 150K expected, the dollar may get a temporal boost against the EUR, but buyers won’t hesitate to jump in on approaches to 1.3820 area first, and if this last is taken, around 1.3770.”
Key Quotes
“The EUR/USD has remained steady above the broken trend line coming from the all time high of 1.6038, and even completed a pullback to it before bouncing to reach fresh year highs around 1.3882.”
“The strong upward acceleration following ECB decision to leave economic policy unchanged suggest the pair is ready for another leg higher, probably towards fresh highs beyond 1.3900,past December high, albeit cautious investors are rather waiting a confirmation of what is being largely suspected and rumored over the last few weeks: that the US employment sector remains subdue and therefore, the country’s economic recovery.”
“Given that picture, investors are now mostly waiting for a disappointing number to rush into buying mode and trigger a strong upward continuation, eyeing 1.3920 immediate short term resistance, ahead of key 1.4000 figure.”
“But what if the number overcomes expectations? In that case and only if the reading is well above the 150K expected, the dollar may get a temporal boost against the EUR, but buyers won’t hesitate to jump in on approaches to 1.3820 area first, and if this last is taken, around 1.3770.”