Jul 05 2021 0
NFP over the weekend surprised with unemployment data. The USD fell sharply after that and made noticeable changes across the currency pairs.
- OPEC+ ended its meeting on Friday and did not reach a new agreement on output, continuing to wait for the results at Monday's meeting.
- NFP: New job creation exceeded expectations (850K vs. 725K) but unemployment rate was higher (5.9% vs. 5.6%).
- The global minimum corporate tax rate of 15% is close to becoming a reality as 130 countries, accounting for more than 90% of global GDP, back the agreement at talks organized by the OECD.
After the breakout from the 111 zone, the price has not been able to approach the 112 zone as expected and is correcting strongly, the price action of the last session of the past week has formed a railroad pattern, therefore, the possibility will continue. further adjustments. Those who still have buy orders (recommended to move SL) can still hold orders, but do not add new positions, so they should wait for opportunities around the lower boundary of the rising channel.
After breaking the bottom of 1.185, the price was unable to fall deeply, was strongly rejected around the psychological resistance of 1.180 and created a strong bullish candle signal on the daily. With price moves like this, you should consider taking profit on all existing sell orders, the price will likely correct up in the short term, we will wait for new selling opportunities after the corrections.
Similar to on EURUSD, after breaking the old bottom, GBPUSD rebounded strongly, creating a daily railroad set of candles. In the new session, pay attention to the downtrend line, if the price breaks this line, it is likely to continue to correct up, you should consider exiting the remaining sell orders.
The decision to exit the long positions was correct as the price dropped very strongly from this confluence during the last session of the week, creating notable bearish signals on both H4 and daily. It is expected that this correction will continue and soon approach the 1.225 zone, the next decision will be based on the price action around this zone.
The break of 0.747 support area last week was a false breakout as the price rebounded strongly at the end of the week, creating bullish engulfing candle signals on both H4 and daily. Expect this correction to continue, the initial target is around 0.76.