The EUR/USD pair registered a strong upwards movement after the US data publication. As you already know, the economic figures came in mixed. DXY's massive drop forced the USD to depreciate versus its rivals.
Fundamentally, the German Factory Orders came in worse than expected, while the German Final Services and Euro-zone Final Services PMI came in better than expected. On the other hand, the US Non-Farm Employment Change was reported at 261K in October versus 197K expected but below the 315K in the previous reporting period. In addition, the Unemployment Rate jumped from 3.5% to 3.7% above the 3.6% expected, while Average Hourly Earnings reported a 0.4% growth versus the 0.3% expected.
EUR/USD Amazing Rally!
As you can see on the H1 chart, the price failed to stabilize below the uptrend line signaling exhausted sellers. It has rallied and now it has reached the downtrend line which stands as a dynamic resistance.
The 0.9873 represents static support, while today's high of 0.9940 represents an upside obstacle.
EUR/USD Outlook!
A new higher high activates further growth at least towards the parity (1.0000). This scenario helps the traders to go long.
As long as it stays under the downtrend line, only false breakouts could announce a new sell-off. Dropping and closing below 0.9873 brings short opportunities.
