The US dollar showed a more attractive movement in the New York session overnight if it weakened at the beginning of the session before returning to strengthen at the end of the session. What happened?
Earlier in the New York session the market turned to the publication of the US (US) ADP NFP jobs report which measured private sector job gains soaring higher to 807,000 against expectations of a decline to 405,000 for December 2021.
However, the positive reading did not give an upward reaction against the US dollar, on the contrary the US dollar moved weakly towards the issue of the FOMC minutes of the meeting.
After a few minutes the FOMC message was issued, then the US dollar again showed its appreciation at the end of the New York session.
The price on the chart of the EUR/USD currency pair showed a daily gain of around 70 pips overnight, but returned to its original decline in late New York following the market's reaction to the FOMC message.
The bullish trend signal is seen again on the EUR/USD chart after the price has moved above the 50 Moving Average (MA50) support level on the 1-hour timeframe.
However, the strengthening of the US dollar is also expected to push prices back to a lower level ahead of the NFP jobs report which is the focus at the end of this week.
The price gains are still expected to reach the resistance zone at 1.14000 before a further advance would test the highs around 1.14500.
Meanwhile, the price decline situation will also move towards the support zone at 1.12500 and then to a lower level at the key 1.12000 zone.
