EUR/USD (a 4-hour chart)
The USA labor report supported the dollar. The Non-Farm Payrolls showed 287K versus the forecasted 175K. However, the unemployment rate grew from 4,7% to 4,9%.
The pair remained under pressure. The Non-Farm supported the dollar which was able to grow by 120pp. However, its growth was short-lived and the pair returned to a decrease. The immediate support is seen at 1.1050, the resistance stands at 1.1130.
MACD is in the negative area, the histogram little changed since the end of the last week. The indicator shows the sellers’ strong positions. RSI approached the oversold area. If the oscillator enters the oversold area, it will be a sell signal.
The moving averages (50, 100 and 200) direction is downwards in the 4 hours chart. In the 1 hours chart the price touched the 50-EMA and bounced from the 100-EMA.
We recommend short positions. A downtrend will be continued as soon, as the pair drops below the support level 1.1000.