The Euro (EUR) inched higher against the US Dollar (USD) on Friday, this caused an increase in the price of EURUSD, bringing it to a total of more than 1.1300. The price of the pair increased after major economic news released. Considering the price movement of the pair over the last few days, it is anticipated that the technical bias may remain bearish because the pair’s price marked a lower low in the recent downside move.
EUR/USD Technical Analysis
Currently, the pair is being traded around 1.1324, a resistance can be seen around 1.1373, the major horizontal resistance level ahead of 1.1399, the trendline resistance and then come 1.1419, the 61.8% Fib level support in the given below chart.
Talking about the upside, a support can be seen around 1.1269, the horizontal support level ahead of 1.1200, the psychological number and then 1.1176, the key horizontal support which is likely to prevent the price from decreasing further as demonstrated in the given above chart. The technical bias may remain bearish as long as 1.1446, the major horizontal resistance level remains intact.
Nonfarm Productivity News – United States
In the United States, the figure with respect to the nonfarm productivity remained 2.9% in the 2nd quarter this year, as compared to 2.9% during the quarter before, down beating the economist expectation which was 3.0%. The data is copied from the news released by the Bureau of Labor Statistics Department of Labor, United States.
The data represents the output level yielded by the labor force in an hour. The data is considered a good indicator of the overall market condition of the businesses in the US. It also affects GDP. Generally speaking a high reading in this regard is considered as a bullish or upward trend for the US Dollar (USD) whereas low reading indicates a downward trend or bearish market for the US Dollar (USD).
Considering the overall price behavior of the pair over the last couple of days, selling the EURUSD around current levels can be a good decision in short to medium term.