5 Dec 2014
EUR/USD may move towards 1.2270 on a strong NFP print – FXStreet
FXStreet (Barcelona) - Valeria Bednarik, Chief Analyst at FXStreet, notes that EUR/USD has been losing ground slowly & steadily as it fell from 1.2455 to trade below 1.2360, while anticipating it to move towards 1.2270 levels on a better than expected NFP print.
Key Quotes
“The technical outlook is clearly bearish according to the 4 hours chart that shows price struggling around a strongly bearish 20 SMA and indicators retracing from their midlines after erasing oversold readings reached earlier in the week.”
“But upcoming movements, at least in the short term, will solely depend on US NFP data results: the country is expected to have added 232K new jobs in November compared to 214K in October, while the unemployment rate is expected to remain steady at 5.8%. As usual, a better than expected result including possible upward revisions of previous numbers, should boost the greenback, and considering is trading back below 1.2360, the bearish target comes then around 1.2270 a strong static support zone.”
“To the upside, 1.2400 is the immediate resistance and as yesterday, a battle between bears and bulls would likely take place there if reached following a disappointing result. Above it, 1.2440/50 area is next, and at the same time, chances turn towards further dollar downward correction for next week.”
Key Quotes
“The technical outlook is clearly bearish according to the 4 hours chart that shows price struggling around a strongly bearish 20 SMA and indicators retracing from their midlines after erasing oversold readings reached earlier in the week.”
“But upcoming movements, at least in the short term, will solely depend on US NFP data results: the country is expected to have added 232K new jobs in November compared to 214K in October, while the unemployment rate is expected to remain steady at 5.8%. As usual, a better than expected result including possible upward revisions of previous numbers, should boost the greenback, and considering is trading back below 1.2360, the bearish target comes then around 1.2270 a strong static support zone.”
“To the upside, 1.2400 is the immediate resistance and as yesterday, a battle between bears and bulls would likely take place there if reached following a disappointing result. Above it, 1.2440/50 area is next, and at the same time, chances turn towards further dollar downward correction for next week.”