The dollar is losing grounds ahead of the U.S. jobs report, which is expected to reveal that there are fewer Americans being laid off from their job last month. A lower amount employees losing their job is a good sign, where it encourages investors to turn to higher yielding currencies, while selling lower yielding currencies which weigh on the dollar's strength versus major currencies.
The euro is trading in narrow ranges versus the dollar between the support of 1.4842 and the resistance of 1.4901 at 1.4896, while the volume indicators on the one-hour charts are showing us there is low volume in markets. The EUR/USD recorded a high of 1.4904 and a low of 1.4854, as momentum indictors on the one-hour charts are also providing us with a sideways wave trading in an overbought area.
Turning to the pound; we see that it is consolidating between the support of 1.6559 and the resistance of 1.6624 at 1.6598 as the pair records a high of 1.6634 and a low of 1.6557. Momentum indicators in this pair are providing us with a downwards wave, where the pound is slightly weakening as result of technical movements, ever since producer price data in the UK is improving on the year; therefore meaning that the pace of decline in prices is easing.
The dollar yen pair is also calm since the focus in markets is set on the non-farm payrolls, which will either boost the dollar or weigh on the dollar. The USD/JPY is being traded at 90.55, while recording a high of 90.84 and a low of 90.40 as there is a support at 90.50 and a resistance at 90.65.
