EUR/USD Shows Bullish Pattern Again Ahead of NFP Report

 The US dollar showed a gloomy performance towards the end of the week while the focus is now on the release of the United States (US) NFP jobs data report for July in the New York session shortly.

Job growth forecasts for July declined slightly to 250,000 from the previous month's 372,000 while the unemployment rate is expected to remain at 3.6%.

Expectations for an aggressive interest rate hike will be maintained for the next meeting but the factor is seen to fail to further strengthen the US dollar.

The price movement on the chart of the EUR/USD currency pair began to show a pattern of rising prices again in the European and New York sessions yesterday after initially showing a horizontal movement in the Asian session at the level of 1.01600.

Giving a bullish signal, the price has moved up again above the Moving Average 50 (MA50) support level on the 1-hour time frame until seeing the rise reach the resistance level at 1.02400 again.

Flattening around that continued in the Asian trading session this morning (Friday), it is likely that the price increase will continue further to continue the upward pattern displayed yesterday.

If the price makes a rally, the 1.03000 level will be the target to be tested before a move higher will record the latest 4-week high.

The next price target is seen at the height of 1.04000 if the NFP report has a significant weakening effect on the US dollar.

On the other hand, if the US dollar strengthens after the data is published, the price will plunge and retest the support level at 1.01600.

And the lower decline will be to the 1.01000 level for the RBS (resistance become support) zone to be tested before further decline will target up to the 1.0000 support zone.

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