Should you buy or sell the US dollar after private employment misses expectations in August?

August 30, 2023 06:44 AM PDT | By Invezz

Should you buy or sell the US dollar after private employment misses expectations in August? — Image source: Invezz

EUR/USD bullish technical picture points to 1.10 and above

It is no wonder that the US dollar weakened on the data. In fact, the dollar’s bearish trend started yesterday when the EUR/USD exchange rate moved from below 1.08 to 1.0850 on the soft JOLTS report.

Interestingly, by bouncing from the 1.08 area, the EUR/USD pair completed a falling wedge pattern. This is a pattern often retraced completely, so one should not be surprised to see the exchange rate moving into the 1.12 area sooner rather than later.

Moreover, the consolidation overnight looks like a bullish flag pattern that further supports the bullish argument.

All in all, it seems to be just a matter of time until the EUR/USD moves back above 1.10. Depending on the NFP report on Friday, we might even see a new high for the year.

The post Should you buy or sell the US dollar after private employment misses expectations in August? appeared first on Invezz.

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