EUR/USD to retest the 1.1370 daily high above 1.1350

The EUR/USD pair is trading around the same level it closed on Wednesday, at the 1.1330, attempting to rise back above 1.1350 as US weekly jobless claims dropped more than expected to 1314K, FXStreet’s Matías Salord reports.

Key quotes

“US weekly initial jobless claims came in a 1314K slightly below the 1375K expected. Also continuing claims fell more than expected to 18,062K against 19,290K. Claims continue to show an improvement in the situation of the labor market, but still numbers are far from normal (negatively). Coronavirus cases data in the US to be released over the next hours will be watched closely.”

“If EUR/USD rises above 1.1350 the momentum would favor another test of the daily high at the 1.1370 region. A consolidation clearly above 1.1375 would suggest more gains ahead and a test to 1.1400.”

“The positive short-term outlook will remain in place as long as it holds above 1.1300; a break lower would suggest an extension of the correction. A close under 1.1255 (20-day moving average) could point to an interim peak.”