US Dollar finds some bids near 95.70, NFP on sight

The greenback, tracked by the US Dollar Index (DXY) is seeing some respite after yesterday’s sharp pullback, currently hovering over the 95.70 region following the opening bell in Euroland.

US Dollar now looks to NFP

Poor results from the US ADP report for the month of June (158K act.) prompted USD-bears to quickly return to the markets and drag the index to fresh 3-day lows in the mid-95.00s on Thursday, although it seems some buying interest have re-surfaced since then.

The buck opened Friday’s session on a more positive mood albeit cautious in light of the publication of June’s non-farm payrolls later in the day. Prior surveys expect the economy to have added nearly 180K jobs during last month, while the focus of attention will also be on wage growth.

In the meantime, DXY quickly faded the spike to weekly peaks in the 96.20/30 band, mainly on the back of a hawkish tone from the ECB minutes and the above-mentioned soft jobs report from the US private sector, despite upbeat figures from the ISM non-manufacturing.

USD will also closely follow the G20 meeting starting today, where President D.Trump will meet President V.Putin later on Friday.

US Dollar relevant levels

The index is gaining 0.15% at 95.72 facing the next up barrier at 95.90 (10-day sma) followed by 96.25 (high Jul.5) and finally 96.32 (high Jun.28). On the other hand, a breach of 95.56 (low Jul.6) would open the door to 95.22 (2017 low Jun.30) and then 94.95 (low Sep.22 2016).