The Euro (EUR) extended upside movement on Tuesday, increasing the price of EURUSD to more than 1.2300 following the release of some key economic news. The technical bias remains slightly bullish because of a higher high in the recent upside rally.
As of this writing, the EURUSD pair is being traded near 1.2331. A support can be seen around 1.2215, an immediate trendline support area ahead of 1.2053, the 50% fib level support and then 1.2000, the pychological level. A break and daily closing below the 1.2000 support area shall trigger renewed selling interest, validating a move towards the 1.1554 level which is the low of the last major downside move.
On the upside, the pair is likely to face a hurdle near 1.2412, the high of yesterday (Tuesday) ahead of 1.2537, a major horizontal resistance area and then 1.2600, the pychological level. The technical bias shall remain bullish as long as the 1.2000 support area is intact.
US Nonfarm Payrolls
The U.S. economy added the biggest number of jobs in more than 1-1/2 years in February, but a slowdown in wage growth pointed to only a gradual increase in inflation this year.
Nonfarm payrolls jumped by 313,000 jobs last month, boosted by the largest rise in construction jobs since 2007, the Labor Department said on Friday.
The payrolls gain was the most since July 2016 and triple the roughly 100,000 jobs the economy needs to create each month to keep up with growth in the working-age population. Data for December and January were revised to show the economy creating 54,000 more jobs than previously reported.
Considering the overall technical and fundamental outlook, selling the pair around current levels can be a good strategy as bears are apparently gaining momentum.