- EUR / USD holds the offered position unchanged around 1.1570.
- The US ADP report surprised to the upside in October with 571,000 jobs.
- The FOMC event will be held later.
Sellers appear to be in control of sentiment around the European currency and are forcing the EUR/USD to fall to daily lows near 1.1560 on Wednesday.
EUR / USD weakened by US data, watch out for the Fed
EUR / USD is now accelerating losses and adds to Tuesday’s bearish price action against the backdrop of a further recovery in the dollar, as well as the prevailing caution ahead of the FOMC meeting.
In fact, the buying interest in the dollar improved even more after the estimated results of the US calendar. In reality, the US ADP report showed that the US economy added 571,000 jobs during October, while the non-manufacturing ISM increased to 66.7 over the past month and major factory orders expanded to 0.2 % monthly in September.
The additional rise in the dollar also comes in response to the rally in US yields at the top and bottom of the curve to 0.50% and 1.57%, respectively.
Technical levels
So far, the pair is shedding 0.12% at 1.1565 and faces the next bullish barrier at 1.1689 (55-day SMA) followed by 1.1692 (October 28 monthly high) and finally 1.1755 (September 22 weekly high). On the other hand, a break below 1.1535 (weekly low on October 29) would target 1.1524 (October 12 low) on its way to 1.1495 (March 9, 2020 monthly low).
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