Technical Analysis: EURUSD struggles to keep bounce off 200-bar SMA on NFP day
Tuesday's pullback from a five-week-old resistance trend line by EURUSD reversed from the key SMA on Thursday. The move currently treads water ahead of the key US Nonfarm Payrolls (NFP) data. While the forecast challenges the US dollar's latest recovery moves, any surprises can't be ruled out concerning the joint efforts by the Trump administration and Federal Reserve (Fed) to propel the world's largest economy. As a result, the pair may drop below the 200-bar SMA level of 1.1790, while also attacking the previous month's low near 1.1695, during the upbeat outcomes. Though, the quote's downside past-1.1695 will be the strong call to sellers targeting gradual moves toward the sub-1.1500 area.
If at all the US employment numbers follow the footprints of ADP Employment Change and disappoint the greenback bulls, the August 18 top near 1.1965 could quickly return to the charts. However, the pair's further upside beyond 1.1965 will be questioned by the month high of 1.2010 and an ascending trend line from July 31, at 1.2025 now.