■ A robust US Nonfarm Payrolls report for March propels the Greenback higher,monero attack impacting the EUR/USD.
■ The Eurozone's mixed economic indicators, including Germany's Factory Orders and Retail Sales, contrast with the strong US employment landscape.
■ Further downside seen at EUR/USD as technical suggests potential for declines below the 1.0800 threshold.
The Euro registers minimal losses of 0.13% following the release of a stronger-than-expected jobs report from the United States (US) that boosted the Greenback, sending the EUR/USD lower. At the time of writing, the pair trades at 1.0822 after hitting a daily high of 1.0847.
EUR/USD slides as upbeat US labor market data fuels US Dollar rally
On Friday, the US Bureau of Labor Statistics (BLS) revealed that the economy added more jobs than expected. Nonfarm Payrolls for March rose by 303K, crushing estimates and previous readings of 200K and 270K. Further data showed the Unemployment Rate ticking lower from 3.9% to 3.8%, while Average Hourly Earnings were aligned to the consensus.
After the data, the Greenback strengthens as the US Dollar Index (DXY) rises 0.155%, up at 04.36. US Treasury bond yields are climbing between 4.5 and 5 basis points. The US 10-year Treasury note rate is at 4.365%.
Elsewhere, the Richmond Fed President Thomas Barkin commented the rpoert was quite strong, adding that the reduction in inflation has been uneven. Earlier. Fed’s Boston Susan Collins made comments but not on monetary policy.
Across the pond, Factory Orders in Germany improved in February, to 0.2%, improving from January’s -1.4% plunge. Moreover, Retail Sales from the Eurozone (EU) dived -0.5% MoM, worse than the estimated -0.4% contraction.
Given those factors, the EUR/USD retreated below the 200-day moving average (DMA). Traders' focus shifts to next week's data, with the release of US inflation data and consumer sentiment. On the EU’s front, the European Central Bank (ECB) will feature its monetary policy meeting, which will be the highlight of the week.
EUR/USD Price Analysis: Technical outlook
The formation of an ‘evening star’ chart pattern could pave the way for a drop below the 1.0800 figure. Momentum in the EUR/USD is tilted to the downside as the Relative Strength Index (RSI) aims lower and beneath the 50-midline level. A breach below 1.0800 will expose the April 2 low of 1.0724, ahead of 1.0700. On the other hand, buyers will face stirring resistance at the confluence of the 50 and 200-DMAs at around 1.0828/32.
