Morning Edge T Chart Friday 02062010
USD NEWS-08:30 US Non-Farm Payrolls, Annual Unemployment Rate, Average Hourly Earnings.
Keep in mind that a worse than expected number for Non-Farm will have an initial impact of USD weakness, but it will also weaken the equity markets, which could cause the USD to whip back the other direction. Additionally, a better than expected report would initially strengthen the USD, but then the buying pressure in the futures ahead of the open bell would push the USD back down.
The tendency with Non-Farm has been that we will see strong initial moves in the first 5 minutes with a retrace in the 10 to 15 minutes after the report is released, and then a follow through that will trend based on Index Futures and Equity markets into the afternoon.
STRONG
Short EUR/USD 1.3650*
Short GBP/USD 1.5650
Long USD/JPY .8980**
Long USD/CAD 1.0780
WEAK
Long* EUR/USD 1.3850
Long GBP/USD 1.5850
Short USD/JPY .8930
Short USD/CAD 1.0700
The values in the T-chart data represent the next levels of significant support or resistance with trade opportunities to these levels, or breakouts beyond these levels. The use of Astrid denotes key sustained support or resistance levels, or counter trend opportunities in the market.