EURUSD turns higher adding 0.05% at 1.1109 after the weaker NFP data. The United States Nonfarm Payrolls showed that the economy created only 145K new jobs, well below analysts forecast of 166K in December. The new 145k new jobs were much lower than the new job openings created in November that reached 266k, and was the lowest new jobs creation the last seven months.
The United States Average Hourly Earnings (MoM) came in at 0.1%, below forecasts of 0.3% in December, while the annual US wage growth increased by 2.9%, below the 3.1% growth reading in November. The U.S. Labor Force Participation Rate came in at 63.2% in line with forecasts.
The U.S. unemployment rate remains at the lowest level in the last 50 years at 3.5%.
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EURUSD Rebounds from the 50-day Moving Average
EURUSD breached yesterday the 1.11 strong support and cancelled the recent positive momentum. The pair hit the YTD highs (1.1224) at the first trading day of the year and since then is under pressure.
On the downside initial support for EURUSD stands at 1.1084 the daily low. In case the pair breaks below the bears will seize control of the trend and lower levels would follow. Next support area would be met at 1.1062 the 100-day moving average.
On the other hand, immediate resistance for the pair stands at 1.1110 the daily high. A move above that resistance will attract more bulls for an attempt to recapture the 200-day moving average at 1.1140. The next supply zone for EURUSD stands 1.1238 the high from December 31st.