Looking at the momentum, we can conclude that the middle bollinger band resistance is strong. In the upcoming week, we will need to observe the price action in this region. A clean breach may open up the upper limits at 1.12 and 1.14.

Should the bearish momentum return to test 1.08, failure of the support may open up the lower bollinger band as an extended bearish target.

Fundamental Analysis

The US Non-Farm Payroll clocked in better than expected. Investors are likely monitoring developments to determine if the US Federal Reserve will continue to hike interest rate.

Across the Atlantic, the German Factory Orders came in at 1.5% versus the forecasted 0.1%. This brought optimism to the market.

For the upcoming week, it is crucial to monitor the situation of the Chinese equities market. We have seen the far reaching effects of the sentiment fallout. Important economic releases such as the US unemployment claim and Retail sales are due too.

Trade safely.