Talking Points:
– EURUSD rebound short-lived; watching flag 1.2560-1.2675.
– AUDUSD turns back at 8-EMA; USDJPY supported above 108.25.
– See the DailyFX US Dollar Economic Calendar for Friday, October 3, 2014.
Despite recent price action across several USD-pairs, mainly AUDUSD, EURUSD, and USDJPY, the US Dollar’s 12-week bull run is very much intact. Mainly, we’ve seen key technical momentum levels tested over the last two days in these pairs, and as a result of some bullish overnight price action, the US Dollar rally is back on track – for now.
We say for now due to the overhang of significant event risk – mainly the September US labor market report due at 12:30 GMT today. Any print below +200K will stir disappoint in a stretched US Dollar market, which could put pressure back on the buck’s key technical levels.
See the above video for an overview of the key technical levels guiding the AUDUSD, EURUSD, and USDJPY heading into and after NFPs today.
Read more: What to Expect from ECB and Managing EUR/USD Trade
— Written by Christopher Vecchio, Currency Strategist
To contact Christopher Vecchio, e-mail cvecchio@dailyfx.com
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Source: Daily fx
