The currency pair declined once again after a minor pullback. It hit an intraday high of 0.89248 and is currently trading around 0.88658. The intraday bias appears to be bearish as long as the resistance 0.9000 holds.
US jobless claims reflect mixed signals: in the week to March 1, 2025, initial claims fell 21,000 to 221,000, below the forecast of 235,000, as continuing claims rose to a near-three-year peak, indicating the inability to secure new jobs. This follows a spike in February when initial claims hit a two-month high of 242,000, which was above expectations. Moreover, federal reductions in force by the Department of Government Efficiency (DOGE) are reported separately under the UCFE program and are not part of state claims data
Technical Analysis and Resistance Levels
The pair is trading below the 34-EMA and 55-EMA on the 4-hour chart indicating a bearish trend. The immediate resistance is at 0.8940 any break above targets 0.9000/0.9035/0.9070/0.9100/0.9150/0.9200/0.92250/0.9275/0.9030.
Support Levels and Potential Declines
On the downside, near-term support is around 0.87600, any violation below will drag the pair to 0.8720/0.8660.
Bullish Indicators
CCI (50) - Bearish
Directional movement Index - Bearish
Trading Strategy Recommendation
It is good to sell on rallies around 0.88180-20 with a stop-loss at 0.8870 for a TP of 0.8720.
