The US employment statistics are due at 8:30 AM. For a preview of the trends see: A look at the trends in the US employment statistics
The EURUSD is positioning itself between two levels that I think are important to “the market”.
On the topside,
- The 1.1876 was the low from 2010 and also the low for the post 2008 crisis.
On the downside,
- The 1.1743 is a key level (the low for the week reached 1.1753). This price is the level that the euro was introduced to world financial markets as an accounting currency on January 1, 1999 – replacing the ECU at a ratio of 1:1 (US$1.1743). See post: Forex technical trading: EURUSD keeps the bears in control. Moves away from 2010 low.
The midpoint of those two levels is 1.1810. The current price is 1.1816 about midway between the two levels. The market seems to be positioning for the number and will react accordingly.A break of either extreme should solicit more momentum in the direction of the break.
Looking at the hourly chart, the price did move above trend line resistance – currently at 1.1773. The 100 hour MA (blue line in the chart above) comes in at 1.1860 and is the next upside target. Then comes the 1.1876, the 1.1903 (trend line), 1.19315 (38.2%) and the 200 hour MA (green line) at 1.1982.
Below, the 1.1773 is followed by the 1.1743 level outlined above. Below that the 1.1661 and 1.1639 are the lows from 2005.
Risk is increased through the release so carry positions at your own risk. It is more of a gamble than a trade.
EURUSD sets itself up between key upside resistance and key downside support
