The Euro is holding neutral near-term tone ahead of US jobs data which are expected to give fresh direction signal.
ADP private employment data is due today with forecast for June at 185K compared to 253K in May. In addition, US weekly jobless claims (forecast at 243K vs 244K previous week) and US Non-Manufacturing PMI (forecast for June at 60.8 vs 60.7 in May) are due today, ahead of key release, US Non-Farm payrolls on Friday (forecast for June stands at 179K vs 138K in May) which could generate stronger direction signal.
The EUR/USDcracked strong Fibo 38.2% support at 1.1320 on Wednesday (dip to 1.1312 low was contained by rising 10SMA) but failed to close below.
Wednesday’s trading ended in Doji candle, signaling indecision ahead of key US data.
Technical studies on daily chart are bullishly aligned and supportive for fresh advance, as 1.1320 support marks ideal reversal point for pullback from 1.1445 tops.
However, falling hourly cloud continues to limit upside attempts and lift above it (cloud top lies at 1.1380) is needed to signal reversal and open targets at 1.1400/45.
Conversely, sustained break below 1.1320/00 zone would signal fresh extension of bear-leg from 1.1445 and expose supports at 1.1282 (daily Kijun-sen) and 1.1256 (20SMA).
Res: 1.1368, 1.1380, 1.1400, 1.1426
Sup: 1.1336, 1.1320, 1.1308, 1.1282
