Pay Attention To The US Non-Farm Payrolls Today
Keep your eye on the US Non-Farm Payrolls today! The US Jobs Report will be released at 12:30 p.m. (GMT).
Why Is This Important?
The Non-Farm Payrolls track the change in the number of people employed by the US in manufacturing, construction, and goods companies. It does not include farming industry employment. The US Jobs Report is so important for the upcoming Fed decisions.
Increased vaccinations that have led to more robust economic activity have helped the U.S. recovery from the pandemic, prompting expectations the Fed could start exiting its ultra-easy policy. That has provided a lift for the dollar.
On Wednesday, Private payrolls increased by a greater-than-expected 692,000 jobs last month, above the 600,000 jobs expected. The data showed U.S. companies hired more new employees than expected in June, adding to signs that the nation’s labor market is recovering strongly.
Yesterday, Initial jobless claims came out at 364K versus 390K estimate. Prior week revised to 415K versus 411K last week. The data is the lowest since March 14, 2020
US Nonfarm Payrolls are expected to rise 700K in June from 559K. The Unemployment Rate is expected to drop to 5.7% from 5.8%. Average hourly earnings are expected to come out 3.7%, year on a year basis.
Moreover, we will also watch the US Factory Orders today. The data is expected to be a 1.6% rise in orders for May compared with a -0.6% fall the month before. A higher than expected reading should be taken as positive for the US Dollar.
EURUSD: The EURUSD pair still under selling pressure. As long as the EURUSD pair stays below 1.1867, on a four-hourly basis, the selling pressure may continue and we will follow 1.1819 as the main support level. On the upside, if the price rises above 1.1867, the next resistance level will be at 1.1919
Support: 1.1819 - 1.1744 - 1.1658
Resistance : 1.1867 - 1.1919 - 1.1994
GBPUSD: Focus on the 1.3784 daily resistance level in the GBPUSD pair. As long as the pair stays below 1.3784, on a daily basis, we will follow 1.3688 and 1.3599 as support levels. Otherwise, if the price rises above 1.3784, the next resistance level will be at 1.3883
Support: 1.3688 - 1.3599 - 1.3517
Resistance: 1.3784 - 1.3883 - 1.4005
USDJPY: The USDJPY pair extended gains and moved up above the 111.52 main support level. As long as the price stays above 111.52 on a daily basis, we will face 112.16 as the main resistance level. Otherwise, if the price drops below 111.52, we will follow the next support level at 110.93.
Support : 111.52 - 110.93 - 110.36
Resistance: 112.16 - 112.59 - 112.89
GOLD: The GOLD price showed an upward movement above the 1763 main support level. As long as the price stays above 1763, on a four-hourly basis, we will see the daily resistance levels at 1785 and 1805. On the downside, if the price breaks down below 1763, the next support level will be at 1745.
Support: 1763 - 1745 - 1736
Resistance: 1785 - 1805 - 1829
02 Jul 21 (Fri)