Forex
EUR/USD Bounces Back After US Labor Market Surprise
The EUR/USD exchange rate rebounded after the recent volatility caused by the US labor market's surprising job addition, which pushed the currency pair to a low of 1.1585 before it climbed back to around 1.1620.
The US Dollar Index (DXY) eased to about 99.10 after touching 99.36, and the upside is capped by the 200-day Simple Moving Average at 1.1634.
The Relative Strength Index (RSI) has cooled from overbought conditions but holds near 56, above the neutral 50 line, while the MACD sits marginally below zero even as its red histogram bars fade.
Market analysts recommend that derivative traders avoid aggressive directional futures bets until a clean daily close outside of this narrow 70-pip range is seen.