Global macro overview for 07/10/2016:
The most anticipated event of the week, the Non-Farm Payrolls Change, is scheduled for release at 12:30pm GMT today. After quite good figures from ADP earlier this week, market participants expect the NFP number at the level of 171k, a mere 20k more than the last month figure.The unemployment rate is expected to stay at the same level as a month ago, at 4.9%. Any figures better than anticipated, especially the NFP number bigger than 200k will be considered bullish for the US Dollar and expectations towards the interest rate hike in December 2016 will increase as well.
Let's now take a look at the EUR/USD technical picture in the 4H time frame. The important technical support at the level of 1.1120 was violated overnight and currently the bear camp is in full control over this market. The next support is seen at the level of 1.1043, but in a case of a better than expected NFP number, it will be violated as well and the price might be pushed lower towards the next important support at the level of 1.0950.
