EUR/USD Steady, Ahead of This Week's US Non-Farm Payroll

By: MIG Bank | Tue, May 29, 2012
Print Email

EUR/USD is steady ahead of the NFP release, still attempting to unwind from oversold price conditions, with both momentum and net short positions holding at their extremes.

Expect a temporary relief bounce over the coming sessions into 1.2910/12 and potentially 1.3000 (psychological level). Only a sustained move at these levels would neutralize the extreme market condition.

In terms of the big picture, key structural support remains at 1.2125/30, which would equate to EUR/USD losing half of its gains from the bull market taken from the year 2000.

Inversely, the USD Index is also unwinding from overbought conditions, after rocketing above the previous 2012 peak at 81.78.

This week’s US Non-Farm Payroll will likely influence. Momentum has decelerated since early 2012 and is likely to extend into the key level at 54k (2011 low), potentially renewing safe haven flows back into the USD.

Daily Technical Report



MIG Bank

Author: MIG Bank

MIG Bank

MIG BANK, formerly known as MIG INVESTMENTS, was established in Neuchatel, Switzerland as an online Forex broker and in 2009 became the world's 1st Forex broker to obtain a Swiss banking license. Since its foundation in 2003, MIG BANK specializes in online Forex trading and remains a leading Forex broker for clients in more than 120 countries.

No information published constitutes an offer or recommendation, to buy or sell any investment instrument, to any transactions, or to conclude any legal act of any kind whatsoever.

The information published and is provided by MIG BANK for personal use and for purposes only and are to change without notice. MIG BANK makes no representations (either expressed or implied) that the information and opinions expressed are accurate, complete or up to date. In particular, nothing contained constitutes financial, legal, tax or other advice, nor should any investment or any other decisions be made solely based on the content. You should obtain advice from a qualified expert before making any investment decision.

All opinion is based upon sources that MIG BANK believes to be reliable but they have no guarantees that this is the case. Therefore, whilst every effort is made to ensure that the content is accurate and complete, MIG BANK makes no such claim.

Limitation of liability
MIG BANK disclaims, without limitation, all liability for any loss or damage of any kind, including any direct, indirect or consequential damages.

Material Interests
MIG BANK and/or its board of directors, executive management and employees may have or have had interests or positions on, relevant securities.

All material produced is copyright to MIG BANK and may not be copied, e-mailed, faxed or distributed without the express permission of MIG BANK

All Images, XHTML Renderings, and Source Code Copyright ©