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​​​​EUR/USD, GBP/USD and AUD/USD gain ground ahead of US jobs report

EUR/USD, GBP/USD and AUD/USD heading into multi-month highs ahead of the latest US jobs report.

AUD Source: Bloomberg

EUR/USD hits fresh five-month high

EUR/USD has enjoyed another leg higher this week, with the price rising into a fresh five-month high yesterday. Today brings expectations of further volatility, with markets waiting cautiously for the latest jobs report this afternoon. With expectations that payrolls will fall back to levels not seen since the start of the year, a decline through that key 200k threshold could bring heightened volatility for the dollar.

For now, we have a clear uptrend in play since the lows of late-September. As such, further upside looks likely, with a break back below the recent low of $1.029 required to negate that bullish view.

EUR/USD chart Source: ProRealTime
EUR/USD chart Source: ProRealTime

​GBP/USD rises back towards key resistance

GBP/USD has also been on the front foot over the course of this week, building on the gains seen since the end of September. The wider bearish trend is negated with a break up through the $1.2294 swing-high, which is within touching distance today.

With the price having already engaged that level yesterday, it will be crucial to watch whether price breaches that August high or reverses lower for the time being. As such, keep an eye out for how we respond to the $1.2294 swing-high as a basis for near-term sentiment here.

GBP/USD chart Source: ProRealTime
GBP/USD chart Source: ProRealTime

AUD/USD heads towards a confluence of resistance

AUD/USD has maintained its recent bullish trajectory, with the price reaching a two-month high yesterday. Despite seeing Australian inflation fall back from 7.3% to 6.9% on Wednesday, the comments from Jerome Powell on that same day helped drive a dollar decline which pushed the pair higher once again. From a wider perspective, the long-term downtrend does remain intact here, with a confluence of 200 simple moving average (SMA) and 76.4% Fibonacci resistance up ahead.

As such, while the recent uptrend does signal the expectation of further upside, it is worthwhile watching whether resistance comes into play around $0.6908. A break below the recent $0.664 swing-low would be required to bring about a fresh bearish signal for the pair.

AUD/USD chart Source: ProRealTime
AUD/USD chart Source: ProRealTime

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