Since there’s nothing on the calendar

Posted Monday, September 5, 2016 by
Skerdian Meta • 1 min read

On Friday we saw a round trip in the forex market after the US employment data was released. The numbers missed the expectations, so the market took them at face value at first, sending the buck diving about 100 pips lower. But later it realized their true value and the price reversed in all forex majors, turning the forex charts upside down. That has brought into play new support and resistance levels. We will cover these levels for a couple of these forex pairs. 

GBP/USD – This forex pair surged for about 100 pips on Friday after the better than expected construction numbers. Today we had another surprise from the service sector and the price extended the move up to 1.3375. So, that´s a resistance level but before that comes Friday´s high at 1.3350. The first support right now is provided by the 50 moving average on the hourly chart at 1.3290-1.3300. Below that is 1.3250 and 1.3220-30.

EUR/USD – After the JPY, the Euro was the biggest loser among forex majors on Friday. The price sank below 1.1180 which was the high today, so that´s the first resistance level. The second resistance comes at 1.12 where the 100 and 200 smooth moving averages (SMA) are cuddling together in the hourly forex chart. Being the high on Friday, 1.1250 is the line in the sand between the higher and the lower trading areas on this forex pair. The support levels come at 1.1120-30, 1.11 and 1.1080. 

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