Forex Daily News: July 5, 2010 – US Jobs Data Sends Dollar Down

Posted by admin on July 5, 2010 under daily forex analysis, Daily Forex review, daily technical anlysis, forex market, Forex Trader Review, Online Forex Review, Uncategorized | Be the First to Comment

USD Dollar (USD) – The Dollar weakened against most of the major currencies after the NFP report showed worse than expected data while job losses came out -125k vs. expected -100k. The Unemployment Rate came out 9.5% better than expected 9.8%. Stocks in the US fell with NASDAQ and Dow Jones falling by -0.46% and -0.47% respectively. Crude oil fell for a fifth day in a row hardly managing to close at 72.2$ a barrel. Gold (XAU) recovered a little from its previous losses and closed at 1211$an ounce. Today, US banks will be closed in observance of Independence Day, low liquidity might cause to irregular volatility in the market.

Euro (EUR) – The Euro rose further against the Dollar after the release of the US employment report hitting a 6 week high and extending its rally. The Unemployment Rate came out 10% better than expected 10.1%. The PPI came out unchanged at 0.3% as expected. Trading above the support level of 1.2470 keeps the momentum positive for the pair. Overall, EUR/USD traded with a low of 1.2480 and with a high of 1.22610. Today, the Retail Sales are expected at -0.1% vs. -1.5% previously.

EUR/USD – Last: 1.2544

Resistance	1.26
Support	1.2480	1.24	1.2350

British Pound (GBP) – After the NFP data came out in US the Sterling has reached 8 week fresh high at 1.5228 but shortly fell below the 1.52 zone. The Construction PMI came out 58.4 worse than expected 58.6. Trading above the support level of 1.5120 keeps the momentum positive for the pair. Overall, GBP/USD traded with a low of 1.5148 and with a high of 1.5228. Today, the Service PMI is expected at 55.2 vs. 55.4 previously.

GBP/USD – Last: 1.5179

Resistance	1.5220
Support	1.5120	1.5070	1.5

Japanese Yen (JPY) – The Dollar recovered versus the Yen after the NFP data came out while attempting to rise back above the 88 zone. Breaching the 87.8 level will turn the momentum to positive for the pair. Overall, USD/JPY traded with a low of 87.31 and with a high of 88.20. No economic data is expected today.

USD/JPY-Last: 87.90

Resistance	88.3	88.9	89.4
Support	87.5	87

Canadian dollar (CAD) – The US Dollar rose in Forex Trading versus the Canada’s Dollar as investors observed contrarian figures in the US Labor sector. The loss on jobs but decrease in unemployment rate added upside momentum to the pair. Trading above the support level of 1.0530 keeps the momentum positive for the pair. Overall, USD/CAD traded with a low of 1.0554 and with a high of 1.0666. No economic data is expected today.

USD/CAD-Last: 1.0606