2010-03-05: U.S. Non-Farm Payrolls Set to be Released Today!
The forex market is bracing itself for some heavy volatility as the U.S. Non-Farm Payrolls figure is set to be released today. The monthly report is one of the most significant market indicators and will heavily impact Dollar pairs.

EUR/USD
The pair has shown a lack of a trend this week, range trading with significant support and resistance levels at 1.3430 and 1.3680. The 4-hour chart shows the price has dropped from the Bollinger Band’s upper border and crossed below the 20-day moving average line. Traders could go short today, using the lower Bollinger Band as a price target, with a secondary support level at 1.3430.

GBP/USD
The strong bearish trend continued yesterday after a brief correction earlier in the week. Those traders that missed the breakout yesterday can still enter into the market at a relatively good price. The 4-hour chart’s MACD shows a down-sloping histogram and a potential bearish cross forming. Traders may want to wait for the cross and enter the market short with a target at 1.4880.

USD/JPY
Traders may find a good setup on the 4-hour chart. After a quick correction to the bearish trend, the price has risen to a resistance level of 89.35 and failed to break this mark. One of the best times to enter into the market is at a resistance level. A bearish cross may be forming on the chart’s Slow Stochastic Oscillator, indicating the potential for a downward price movement. Going short seems to be the right play today.

USD/CHF
The daily chart shows a channel has formed, beginning on Feburary 19th. The price has made contact with the downward sloping lower border three times, making this a significant continuation pattern. Traders may want to go long on this pair with a price target at 1.0880, the upper border of the channel.

For oil analysis go to Oil Trading.