12/3/2021
This morning, the US reported their monthly Non-Farm Employment Change and Unemployment Rate which came in at a miss of only 210K jobs added along with a decrease in unemployment rate by 0.3% or a 4.2% unemployment rate.
Our outlook
Although the currency saw some downside initially, it might still be relatively good news as the USD could see some upside. This is because jobs are still being added, although not by as much as expected, and the unemployment rate for the US is the lowest it has been since May of 2020. This report always seems to add lots of volatility at first, but it seems like investors could take this news pretty well. If today we don't see much upside, I still think that the dollar has the potential to keep rising with the tapering discussion becoming for present along with the steady drop in unemployment.
Trade Setups
GBPUSD
GU just broke under a long term channel on the 1D chart indicating a further move to the downside. If price can close under this channel, we could find ourselves looking at a momentous short setup. Even if price comes back up inside the channel, it looks like there is weaker buying volume with each 1D candle, and could be a chance to hop in the short.
USDCAD
UC dipped back into the wedge, but quickly recovered and shows some hard rejection from the day's lows. A test at resistance around 1.28920 still looks probable on the 1D chart.
USDCHF
USDCHF came down to the 200 DMA today after a miss in NFP expectations in the US although unemployment rate dropped by .3%. The pair has help itself on that moving average for the past couple days and has shown some rejection from that level suggesting it may bounce back up to resistance around .92175.
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Hi, I’m Nick! I am the founder of A1 Trading, market analyst, YouTuber, and creator of the EdgeFinder software tool. I caught a huge winner on USoil with the help of the EdgeFinder! In this article, I’ll walk you through my thought process behind the trade and how I found this crazy runner! Finding My […]
