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Soft U.S ADP Employment Figure Weakened USD & Cushioned Equity Markets

By Research Team Thursday, Oct 5, 2023
EUR/USD

    • 10.00amd1
    • High1.05288
    • Low1.0502
    • Close1.05239

EUR/USD is trading at 1.05231, 0.19% up since previous day close. The EURO inches up against the USD amid soft U.S ADP Employment Change data which indicates slowdown in labor sector. This moved off U.S bond yields from its 16-year highs on Wednesday. However, the focus will be on U.S NFP data release event which is to be held on Friday.  Last week, the Fed left an interest rate constant as expected; however, hinted for one more rate hike in this year which weigh down EUR/USD. The better-than-expected Euro-zone Final Services PMI figure remained supportive for EUR/USD. As seen in the chart, the EUR/USD is trading near major support of previous lows & hence, slight buying may be recommended for the day.

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Daily Outlook

EUR/USD

Intra Day
Near Day

Technical Levels

R3 1.06585
R2 1.05776
R1 1.05423
Turnaround 1.04960
S1 1.04614
S2 1.04157
S3 1.03349
By Research Team Thursday, Oct 5, 2023
US100

    • 10.25amd1
    • High14945
    • Low14888
    • Close14924

US100 is trading at 14931, 0.09% up since previous day close. The recovery can be noticed in U.S markets as U.S Treasury bond yields moved off from 16-month highs on account of soft USD & poor ADP Employment Change figures released on Wednesday. Also, the aversion of U.S government shutdown on tentative basis led some buying pressure in US100. The traders will be looking forward to the result of U.S Non-farm Payroll data which is to be issued on Friday. Earlier, the index slid down amid possible chances of interest rate hike be end of this end; as hinted by Fed Powell last week. As seen in the chart, the index almost took a support of previous lows; formed double bottom & is on the verge of crossing over MA (10) & MA (20). Buying bias may be established for the day.

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Daily Outlook

US100

Intra Day
Near Day

Technical Levels

R3 15552.00000
R2 15185.00000
R1 15049.00000
Turnaround 14818.00000
S1 14682.00000
S2 14451.00000
S3 14084.00000
By Research Team Thursday, Oct 5, 2023
OIL

    • 10.43amd1
    • High84.78
    • Low84.2
    • Close84.64

WTI Oil is trading at $84.67, 0.08 up since previous day close. The Oil prices inches up after OPEC+ maintained their plan over cutting down Oil production levels by 1.3 mbpd on Wednesday; but did not mention any cut-off for the year 2024. The recent U.S EIA report fell by 2.2 mbpd against the expected fall of 0.1 mbpd. Earlier, the chances of one more interest rate hike be end of this year as hinted by Fed Chair Powell weigh down the Oil prices. The result of U.S NFP report will be for this week. As seen in the chart, although the commodity reversed down from major resistance level yet it is sustaining the MA (10) & MA (100) levels on lower side. Wait & watch strategy may be adopted for the day in WTI Oil.

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Daily Outlook

OIL

Intra Day
Near Day

Technical Levels

R3 96.87000
R2 91.44000
R1 87.80000
Turnaround 86.01000
S1 82.44000
S2 80.58000
S3 75.15000
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