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FxWirePro: EUR/USD gains some upside momentum but still bearish

  • The EUR/USD inched higher at the beginning of the US session on Friday after a weaker-than-expected September jobs report appeared to reduce the chance of a U.S. interest rate hike this year.
     
  • U.S. employment growth unexpectedly slowed for the third straight month in September. Nonfarm payrolls rose 156,000, down from a gain of 167,000 jobs in August, the Labor Department said on Friday.
     
  • However, further upside for this pair should be limited as the resistance level at 1.1324 levels should limit more upside and bring decline back to lower levels.
     
  • To the upside, the strong resistance can be seen at 1.1236, a break above this level would take the pair towards next resistance level at 1.1256.
     
  • To the downside, immediate support can be seen at 1.1155 levels, a break below this level will open the door towards next level at 1.1137.

    Resistance Levels

    R1: 1.1196 (50% Retracement level)

    R2: 1.1236 (61.8% Retracement level)

    R3: 1.1256 (Sep 22nd high)

    Support Levels

    S1: 1.1155 (38.2% Retracement level)

    S2: 1.1137 (Oct 4th lows)

    S3: 1.1100 (23.6% Retracement level)
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