Greeks on hold for time being
The EURUSD is trading in a narrow trading range for the day (about 86 pips). The high for the day was just short the high from yesterday's trade and topside trend line on the daily chart. The low stalled just above the low price from January 2015 (at 1.1097). The 100 day MA remains a key level at 1.1077. Yesterday on the trend move higher, the 50% of that move came in at 1.1108 and that level (along with the post surge low) has held support in the 1.1102-08 area. Over the last few hours, the price has used the Asia-Pacific low at 1.1133 as a ceiling area (see 5 minute chart below).
The ADP employment came in as expected at 201K vs 200K. The prior month was revised lower at 165K vs 169K. Last month the private sector payroll, as released by the Labor department came in at 220K. The ADP is supposed to track that release. In reality, it is not a good predictor. The chart below shows the closed it got to the Private Payroll number was 18K over the last 6 months, and there have been 2 months when the report has shown greater employment growth and 4 months when the report has shown weaker employment growth.
