USD has been facing some negative effects in the economy since Donald Trump has started taking his steps towards changing some policies in the US Economy. Last week NFP showed a good increment of 227k in comparison to forecasted 170k which did boost the USD bias for sometimes but the 0.1% increase in Unemployment rate did hit USD down where EUR got ahead with a daily bullish close above 1.0750 level. This week it is expected that EUR will dominate the USD market and we can see some higher prices in this pair.
Now let us take a look at technical view, the market is currently residing inside the support area between 1.0715-50 and the bears are currently in control of the market. In this case, the market seems to be retracing towards the support area and consolidating inside the area for upcoming bullish price action to continue towards 1.0850. It is very much expected that the price will lead towards 1.0850 and if market breaks the resistance of 1.0850 it will progress up towards 1.1060 level. On the other hand, if the market breaks below 1.0700 with a daily close we will change our medium-term bias to bearish and shift our target down towards 1.0630 as the first support.
