The EUR/USD pair has retreated from highs and trimmed weekly gains as investors booked profits ahead of the long Easter weekend. Additionally, soft U.S. data triggered risk aversion, helping the dollar as markets brace for the nonfarm payrolls report on Friday.
At the time of writing, the EUR/USD pair is trading around 1.0900, down 0.49% on the day after peaking at the 1.0970 zone.
The ADP reported on Wednesday the U.S. private sector added 145,000 job positions in March, below the 200,000 expected. In addition, the ISM Services PMI came in at 51.2 in March, below the consensus of 54.5. On Friday, the U.S. Bureau of Labor Statistics will report the nonfarm payrolls, which are expected to show the economy created 240,000 new jobs in March after February’s 311,000 increase.
U.S. bonds rallied on Wednesday, pushing Treasury yields to multi-month lows, with the 10-year yield hitting 3.27%, its lowest level since September. Wall Street stock indexes were mixed, with the Dow Jones holding on to mild gains, while the S&P 500 and the Nasdaq Composite traded in the red.
From a technical perspective, the EUR/USD pair retains a bullish bias on the daily chart, but indicators point to dwindling momentum.
On the upside, the pair needs to break above the 1.0970 resistance area to pave the way to the 1.1000 zone and potentially to February’s high of 1.1032. On the other hand, immediate support levels could be found at 1.0850 and the 1.0800 psychological mark ahead of the 20-day SMA at the 1.0770 zone.
At the time of writing, the EUR/USD pair is trading around 1.0900, down 0.49% on the day after peaking at the 1.0970 zone.
The ADP reported on Wednesday the U.S. private sector added 145,000 job positions in March, below the 200,000 expected. In addition, the ISM Services PMI came in at 51.2 in March, below the consensus of 54.5. On Friday, the U.S. Bureau of Labor Statistics will report the nonfarm payrolls, which are expected to show the economy created 240,000 new jobs in March after February’s 311,000 increase.
U.S. bonds rallied on Wednesday, pushing Treasury yields to multi-month lows, with the 10-year yield hitting 3.27%, its lowest level since September. Wall Street stock indexes were mixed, with the Dow Jones holding on to mild gains, while the S&P 500 and the Nasdaq Composite traded in the red.
From a technical perspective, the EUR/USD pair retains a bullish bias on the daily chart, but indicators point to dwindling momentum.
On the upside, the pair needs to break above the 1.0970 resistance area to pave the way to the 1.1000 zone and potentially to February’s high of 1.1032. On the other hand, immediate support levels could be found at 1.0850 and the 1.0800 psychological mark ahead of the 20-day SMA at the 1.0770 zone.