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The U.K. is printing its labor market numbers!

Will this force EUR/GBP to break out of its short-term range?

Before I show y’all my chart, check out the top headlines that weighed on the comdolls and boosted the dollar higher during the Asian session:

Major Forex Pairs Price Performance from MarketMilk
Major Forex Pairs Price Performance from MarketMilk

Upcoming Potential Catalysts on the Economic Calendar:

What to Watch: EUR/GBP

EUR/GBP 1-hour Forex Chart
EUR/GBP 1-hour Forex Chart

The U.S. dollar and the comdolls may have gotten most of the action in the last couple of hours, but the U.K.’s jobs numbers just might bring the spotlight to the pound today.

See, markets expect the unemployment rate and jobless claimants to rise even as average earnings is poised to inch higher. Not good considering that the latest PMI report already surprised to the downside and suggested that the economy has taken more heavy hits from the latest lockdown measures.

A disappointing jobs release could push EUR/GBP firmly higher from its .8880 mid-range levels to test the .8920 range resistance. We could even see bullish momentum if the 100 SMA crosses above the 200 SMA!

But if today’s report comes in better-than-expected, or if traders are in the mood to take some risks, then the higher-yielding pound could drag EUR/GBP back below the 100 SMA to revisit the .8840 range support.