FxWirePro- EURUSD Daily outlook

Ichimoku analysis (1 Hour chart)

Tenken-Sen- 1.17560

Kijun-Sen- 1.17634

EURUSD declined slightly after a minor pullback till 1.17800. The upbeat U.S jobs data and chance of a Fed rate hike are supporting the US dollar. The US 1-year bond yield recovered more than 3.5% from a low of 1.672% made on Apr 1st. The delay in vaccine rollout and new lockdown restrictions in major European countries could drag the economy further down.US Nonfarm payroll increased by 916K in Mar compared to the forecast of  652K. The unemployment rate came unchanged at 6.0% vs an estimate of 6.0%. Average hourly earnings showed a decline of 0.1% vs an estimate of 0.1%. Markets eye US ISM services index for further direction.  

DXY has halted its ten days of the bullish trend and shown a minor profit booking. Any intraday weakness only if it breaks below 92.80. EURUSD hits an intraday low of 1.17401 and is currently trading around 1.17406.

 Technical:

 The pair is facing strong support at 1.1700. Any break below confirms minor bearishness, a dip till 1.16600/1.1600 likely. The near-term resistance is around 1.1780 (200-H MA). An indicative breach above will take the pair to next level till 1.18025/1.18451. Short-term trend reversal only above 1.2000.

Indicator (1 Hour chart)

CAM indicator –Bearish

Directional movement index – Bearish

It is good to sell on rallies around 1.1770-725 with SL around 1.18050 for the TP of 1.1660