EURUSD sellers cheer key support break before US ADP, PMI
EURUSD extends the previous day’s downside break of an ascending support line from March 31 on early Thursday. In doing so, the currency pair prints the heaviest losses in over a week ahead of the key US ADP Employment Change and ISM Services PMI. Though, bullish MACD and upbeat RSI could trigger the quote’s bounce off 21-day SMA level of 1.2172, if not then April top near 1.2150 will be the next support to watch. It should, however, be noted that the pair’s south-run past-1.2150 will make it vulnerable to revisit the mid-May lows near 1.2050.
It’s worth noting that the recovery moves from the current levels need strong data to support to cross the support-turned-resistance close to 1.2215. Also acting as the upside barrier is the weekly resistance line surrounding 1.2245 and the recently flashed multi-day top of 1.2265. Overall, EURUSD traders should wait for Friday’s US NFP even as the early signals suggest that the bullish momentum is fading.
It’s worth noting that the recovery moves from the current levels need strong data to support to cross the support-turned-resistance close to 1.2215. Also acting as the upside barrier is the weekly resistance line surrounding 1.2245 and the recently flashed multi-day top of 1.2265. Overall, EURUSD traders should wait for Friday’s US NFP even as the early signals suggest that the bullish momentum is fading.