- EUR/USD regains above 1.1700 level and market eyes major data US NFP for further direction. Euro has shown a nice jump from 10 –month low of 1.1510 as Italian political uncertainty slightly eased. The political uncertainty in Italy as Italy populist government formed. The 5- star movement and Eurosceptic League agreed to form coalition government with Law professor Giuseppe Conte as PM and Trai as economy minister. It is currently trading around 1.16660.
- US economy is expected to add 188k jobs in the month of Apr compared to 164k in previous month and unemployment at to be steady at 3.9%.Wages are expected to show a minor uptick at 0.2% on monthly basis from 0.1%.
- On the higher side, near term major intraday resistance is around 1.1750 (50% fib) and any break above will take the pair to next level till 1.1800/1.1830 .Short term bearish invalidation only above 1.2020 (200- day MA).
- The near term support is at 1.1500 and any convincing break below will drag the pair to next level till 1.1400/1.1355.
It is good to buy on dips around 1.1660 with SL around 1.1600 for the TP of 1.1800/1.1830.
Resistance
R1- 1.1750
R2 –1.1800
R3- 1.1830
Support
S1- 1.1640
S2-1.1600
S3-1.1500
