The Euro (EUR) rose against the US Dollar (USD) on Wednesday, this caused an increase in the price of EURUSD, bringing it to more than 1.1200. 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 1.1215, resistance can be seen around 1.1285, the major horizontal resistance level ahead of 1.1373, the trendline resistance and then comes 1.1395, the 61.8% Fib level resistance as shown in the given below chart.
Talking about the downside, a support can be seen around 1.1183, the 23.6% Fib level support ahead of 1.0700, the psychological number and then 1.334, the major 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 1.1285, the major horizontal resistance level remains intact.
USD Nonfarm Payrolls News
In the United States, the figure with respect to the nonfarm payrolls remained 196K in March, as compared to 33K during the month before, up beating the economist expectation which was 180K. The data is copied from the news released by the Department of Labor, United States.
The data represents the number of jobs created in all non-agriculture sector in due course of time. It is to be noted that the monthly variation in the Nonfarm payrolls data can be extremely volatile since it is directly proportional to the economic policy decisions made by the Central Bank. 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, buying the EURUSD around current levels can be a good decision in short to medium term.