US Dollar testing highs near 95.80

After yesterday’s sharp retracement, the US Dollar Index - which tracks the buck vs. its main rivals - is now posting moderate gains near 95.80, or daily tops.

US Dollar focus on Payrolls                                    

The index has managed to leave behind the miserable prints from August’s ISM Manufacturing and has now returned to the positive territory after a brief visit of lows near 95.60 on Thursday.

Ahead in the session the greenback will look to resume its earlier rally in light of the publication of Non-farm Payrolls. Market consensus expects the US economy to have added 180K jobs during last month, reinforcing the solid growth pace of the labour market and somewhat giving extra oxygen to bets pointing to a Fed’s rate hike later this month.

US Dollar relevant levels

The index is up 0.11% at 95.75 with the next hurdle at 96.30 (200-day sma) ahead of 96.50 (high Aug.5) and finally 96.86 (high Jun.27). On the other hand, a breakdown of 95.32 (20-day sma) would aim for 95.19 (100-day sma) and then 94.66 (support line off 2016 low).