The US dollar retreats as traders pull some chips off the table ahead of jobs data. On the daily chart, the pair is testing the critical level at the January low of 1.0500, where a bearish breakout would cause a deeper correction and dent the recovery mood. Solid buying pressure has emerged in the demand zone due to a combination of short-covering and renewed buying, driving the price up and leaving 1.0550 as a fresh support. 1.0630 is next and the bulls must lift 1.0700 on the 20-day SMA to turn the situation around.
