10 Aug 2015
EUR/USD: awaiting full market's reaction to Nonfarm Payrolls
FXStreet (Guatemala) - EUR/USD is currently trading 1.0966 with a high of 1.0967 and a low of 1.0960.
EUR/USD dropped heavily at the end of last week's trade, down to test the bulls commitments at the lower end of August's range,( August low 1.0848) but consolidated and rallied off 1.0855 until 1.0978, closing the week 1.0963.
The price action came on the back of the Nonfarm Payrolls that added 215k jobs to the market which was a good enough number for markets to expect the FOMC to record against their decision making list of criteria towards a possible rate hike this September. However, with a lack of follow through, profits were snapped up and the dollar reversed in full to close the week flat.
From the weekend, Greek Finance Minister Tsakalotos and Economy Minister Stathakis were holding discussions with the European Commission, IMF, ECB and the Eurozone's own bailout fund as they plan to strike a deal by August 20th to secure funds for an ECB repayment. A Greek official has been quoted as saying that "the agreement should be concluded comfortably by August 18th."
The Euro area's Q2 GDP will be released on Friday 14th on the European calendar as the main take away for this week. Before then, the Euro Area June Industrial Production on Wednesday 12th August will also be closely monitored.
EUR/USD technical condition
Valeria Bednarik, chief analyst at FXStreet explained that the short-term technical picture according to the 4-hours chart presents a positive tone, although the technical indicators are losing their upward momentum well above their mid-lines. "The 20 SMA holds flat around 1.0900, while a daily descendant trend line, coming from 1.1435, stands today around 1.1045, acting as a strong resistance level in the case of an extension beyond the 1.1000 figure. Should the price ease below 1.0950 on the other hand, the pair can test the mentioned 20 SMA around 1.0900."
EUR/USD levels
Support levels: 1.0950 1.0900 1.0860Resistance levels: 1.1000 1.1045 1.1090
EUR/USD dropped heavily at the end of last week's trade, down to test the bulls commitments at the lower end of August's range,( August low 1.0848) but consolidated and rallied off 1.0855 until 1.0978, closing the week 1.0963.
The price action came on the back of the Nonfarm Payrolls that added 215k jobs to the market which was a good enough number for markets to expect the FOMC to record against their decision making list of criteria towards a possible rate hike this September. However, with a lack of follow through, profits were snapped up and the dollar reversed in full to close the week flat.
From the weekend, Greek Finance Minister Tsakalotos and Economy Minister Stathakis were holding discussions with the European Commission, IMF, ECB and the Eurozone's own bailout fund as they plan to strike a deal by August 20th to secure funds for an ECB repayment. A Greek official has been quoted as saying that "the agreement should be concluded comfortably by August 18th."
The Euro area's Q2 GDP will be released on Friday 14th on the European calendar as the main take away for this week. Before then, the Euro Area June Industrial Production on Wednesday 12th August will also be closely monitored.
EUR/USD technical condition
Valeria Bednarik, chief analyst at FXStreet explained that the short-term technical picture according to the 4-hours chart presents a positive tone, although the technical indicators are losing their upward momentum well above their mid-lines. "The 20 SMA holds flat around 1.0900, while a daily descendant trend line, coming from 1.1435, stands today around 1.1045, acting as a strong resistance level in the case of an extension beyond the 1.1000 figure. Should the price ease below 1.0950 on the other hand, the pair can test the mentioned 20 SMA around 1.0900."
EUR/USD levels
Support levels: 1.0950 1.0900 1.0860Resistance levels: 1.1000 1.1045 1.1090