Traders are expecting another busy end to the trading week on Friday with the key US employment data due out shortly after the start of the New York session. The Non-Farm Payrolls numbers are expected to show around 65,000 new jobs added in October, with the unemployment rate forecast to remain steady at 4.2%, while the Average Hourly Earnings expected to push up to +0.3% month-on-month.
With the market still strongly pricing in another 25-basis point rate hike from the Fed in December an on target or higher print from the data may all but lock in a hike for the meeting for many traders, while a lower result could see the betting move back down towards a 50/50 chance.
The Euro is looking nicely set up on the Daily charts for a substantial move on the data. It has rallied nicely from an annual low last week but still looks to be in a strong down trend over the longer term. A stronger print should see it look to retest those annual lows, while a lower number could see the recent rally resume and push it back up into ranges seen in the last few months.
Resistance 2: 1.1461 – Long-Term Trendline Resistance
Resistance 1: 1.1272 – November High and Trendline Resistance
Support 1: 1.1119 – Trendline Support
Support 2: 1.1103 – 2026 Low
