The US Nonfarm Payrolls will be published today. It will be announced at 12:30 p.m. (GMT) and the Jobs Report is a significant determinant of Fed rate hike in December
The Fed forecast still signals another 2017 hike and three more in 2018. The hawkish Fed outlook helped US dollar. The U.S. Trade Balance and GDP were better than expected in September. Trump tax announcement also behind us. However, the employment data is expected to show a slowdown in jobs growth, reflecting the effects from Hurricane Harvey and Irma.
The ADP Nonfarm Employment Change data was released last Wednesday and it declined to 135K from 228K a month ago.
The Nonfarm Payrolls expectation is 90k jobs created in September and it was at 156k a month ago. Unemployment Rate is expected to remain flat at 4.4% compared to a month ago. Average hourly earnings will be another release to be followed closely at the same time and are expected to rise 0.3% from 0.1% a previous month. An upbeat employment report will point to an improving economy and support the case for higher interest rates in the coming months.
EUR/USD: US dollar gained more value against the euro with Fed members shared their thoughts on economic performance and forward guidance on prospective central bank policies. The EUR/USD pair dropped below 1.1720 key resistance level. Ahead of Nonfarm Payrolls data, the price is trading below the 1.1720. As long as the price stays below that level, on a four-hourly basis, the bearish action may gain more momentum and we will watch 1.1660 and 1.1607 as support levels. On the other hand, If the pair rises above 1.1720, the next resistance level will be at 1.1769.
Support: 1.1660 – 1.1607 – 1.1570
Resistance: 1.1720 – 1.1769 – 1.1812
The gold price showed a downward movement and dropped below the key resistance level of 1272. As long as the price remains below 1272, on a four-hourly basis, the bearish action is most likely dominate. In this case, we will face 1266 and 1256 as support levels. On the other hand, if the price rises above 1272, the next daily resistance level will be at 1276
Support: 1266 – 1256 - 1250
Resistance: 1272 – 1276 - 1283
The GBP/USD pair found sellers from the daily resistance level of 1.3241 yesterday and the price is moving down towards the 1.3051 key support level. If the price able to break down that level, the downward movement may continue, At this point, next support levels will be at 1.3007 and 1.2961. Although, if the price shows an upward movement, we will follow 1.3103 and 1.3152 as resistance levels.
Support: 1.3051 – 1.3007 – 1.2961
Resistance: 1.3103 – 1.3152 – 1.3199
The USD/JPY pair is trading above the 112.94 support level. In the event that the upward movement continues, we will watch 113.63 and 114.11 as resistance levels. On the other hand, if the price falls below 112.94, the next support levels will be at 112.46
Support: 112.94 – 112.46 – 112.08
Resistance : 113.63 - 114.11 – 114.63
The Price of crude oil showed an upward movement yesterday. As long as the price stays above 50.30, on a four-hourly basis. the upward movement may continue and the resistance level will be at 51.75. Although, if the price falls again below 50.30, the next support level will be at 49.33
Support: : 50.30 - 49.33 - 48.48
Resistance: 51.75