EURUSD moves lower after strong US jobs report. What are the technicals tell traders?

The US jobs report came in stronger than expectations and that has led to yields moving sharply higher. The year is up 9.0 basis points they 10-year is up 8.6 basis points.

For the EURUSD it fell to a new low going back to November 2022. The low price reached 1.0212. The 61.8% retracement of the move up from the 2022 low to the 2023 is the next target that comes at the natural support level at 1.0200.

Drilling to the hourly chart, the move lower fell below a swing area at 1.02718. That level was near swing lows and highs on January 2, January 3, and again on January 8 this week.

Staying below that level keeps the sellers in firm control. Move above, and look for further upside probing on the failed breaks. The high corrective price has reached 1.02645. Sellers are leaning against the resistance so far.

US stock futures ahead of the open are implying lower levels

• Dow down -224 points
• S&P down -42 points
• Nasdaq -174 points

This article was written by Greg Michalowski at www.forexlive.com.