In the new trading day in Australia, the employment report will be released.That report will likely have an impact on the prices. Knowing the key technical levels is a way to map out the roadmap for the event.
On the downside, the key area comes between 0.6708 and 0.6713. Her level corresponds with the rising 100 bar moving average on the 4-hour chart, the 38.2% retracement of the move up from the June low, and they swing area going back to mid-May.
Break below that area and another multi-technical level comes in play against the 200 bar moving average on the 4-hour chart, the 50% retracement, and a rising trend line. All is lost in between 0.6675 and 0.6686.
Seller would need to get below those levels to give sellers more confidence for a push lower.
Conversely, a stronger employer report would likely have the price move up toward the swing high from last Monday’s trading at 0.6760. Move above that level and trade would start to target the high price from last weekend 0.67978. That is just short of the natural resistance at 0.6800 and a topside channel resistance level of 0.6806 (and moving higher).
So the technical roadmap is in play. The question is what does the fundamental data tell the market?
This article was written by Greg Michalowski at www.forexlive.com. Source