EUR/USD clings to 1.1700 ahead of payrolls

The single currency managed to leave behind the area of daily lows vs. the greenback near 1.1680 and is now encouraging EUR/USD to test the 1.1700 neighbourhood ahead of key data across the pond.

EUR/USD looks to NFP, Catalonia weighs

Spot bounced off daily lows although it is still remains under pressure amids a broad-based upbeat sentiment surrounding the greenback, always backed at the same time by a healthy rally in yields of the US-10 year benchmark.

Furthermore, renewed jitters over the situation around Catalonia, the probable announcement of independence next week and the potential political consequences for the Spanish government have been also weighing on the EUR’s downside.

In the data space, US non-farm payrolls are expected to show the economy added 90K jobs during September, while investors will also keep at eye on the jobless rate and the wage inflation.

In addition, Atlanta Fed R.Bostic (2018 voter, centrist), Boston Fed E.Rosengren (2019 voter, hawkish), NY Fed W.Dudley (permanent voter, dovish), Dallas Fed R.Kaplan (voter, hawkish) and St. Louis Fed J.Bullard (2019 voter, centrist) are all due to speak.

EUR/USD levels to watch

At the moment, the pair is down 0.01% at 1.1709 and a break below 1.1686 (low Oct.6) would target 1.1662 (low Aug.17) en route to 1.1595 (100-day sma). On the other hand, the next up barrier emerges at 1.1764 (10-day sma) followed by 1.1833 (55-day sma) and finally 1.1861 (21-day sma).