EURUSD has pared most of its gain made in previous week. The pair has lost more than 100 pips on Friday after better than expected US non farm payroll data.US economy has added 201000 jobs in the month of Aug compared to forecast of 191000 and unemployment rate came at 3.9%.Average hourly earnings rose by 0.4% in Aug and annual rate came at 2.9% fastest pace since Jun 2009. US10 year bons yield rose more than 2% after the data.
Trade tensions between US and China is also supporting US dollar index. US President Donald Trump has said that US will impose $267 billion tariffs on Chinese goods.
On the lower side, near term support is around 1.1530 and any violation below will drag the pair down till 1.1500/1.1465. Any break below 1.1500 confirms further weakness.
The near term resistance is around 1.1600 and any break above targets 1.1660. Any break above 1.1660 confirms further bullishness.
It is good to sell on rallies around 1.1585-90 with SL around 1.16500 for the TP of 1.1500/1.1465.
