Euro has remained stuck in a tight range for the past few days with the lack of Eurozone specific news, a holiday Wednesday, and US payrolls today keeping things subdued. Ahead though we have potentially trend changing news out of the US with the Employment Situation Report potentially reinforcing the notion of a hawkish fed if jobs remain abundant, consensus forecast for NFP is at 238,000.
Resistance
- 1.07912/938 – 50 Fib Retracement / 50D Moving Average
- 1.07464/529 – 38.2 Fib Retracement / Consolidation High
- 1.07302- Thursday HIgh
Support
- 1.07069 – Intraday Consolidation Low
- 1.0687 – Thursdays Low / Consolidation Floor
- 1.06494 – Consolidation Low
Proximity to consolidation highs and the general ceiling of the daily consolidation puts EURUSD in an interesting spot. The longer it takes to break higher the more inclined I would be to think the pattern of indecision is intact and sell signals to develop, i.e. long wicks or bearish breakouts in the hourly charts. Ideally we would look for buys only from the consolidation floor, or above 1.07464/529 if driven by fresh news looking to test the bearish trend line.
