The USD rebounds ahead of NFP. The euro probably made a double top at 1.1275 on a closing basis. Better-than-expected jobs data ignite power to dollar bulls.
At yesterday's session, traders eyed US data due to lack of economic events in the eurozone. The pair managed to close below 100Dema, made a double top. At today's Asian session, the pair rejected at 100Dema again, trading at 1.1220 compared to Thursday's closing price of 1.1238. Ahead of US employment data, USD edges higher against most major pairs. Yesterday's readings for US jobs data surprised the traders. In the week ending on May 30, seasonally adjusted initial jobless claims hit 276,000, printing a decrease of 8,000 against the previous week's revised level.
Technical analysis:In the four-hour chart, the pair made the double top at 1.1337. Selling is available below 1.1230 with immediate targets at 1.1160 and 1.1120. Until the pair closes below 1.1275, bears will try to re-test 1.1075 and 1.1020. The trend shifted to use a spike selling towards 1.1300 intraday sl 1.1340 closing basis 1.1275. Intraday support is found at 1.1160, 1.1120, and 1.1090. Resistance is seen at 1.1240, 1.1285, and 1.1340. Risky buying is advised only above 1.1285 with small targets at 1.1310 and 1.1330.