US Dollar up smalls, targets 100.00 ahead of NFP

The US Dollar Index (DXY) – which measures the buck vs. a basket of its main rivals – is slightly higher early in Europe, hovering over the 99.85/90 band.

US Dollar all the attention to Payrolls

The index is advancing for the third consecutive session today, managing to rebound from yesterday’s multi-week lows in the 99.20 region amidst alleviated concerns on ‘Trumponomics’.

USD seems to have found strong support in the low-99.00s for the time being, although it stays under pressure as the absence of further details on policies under Trump’s administration still lingers. The recent up move in the index has been accompanied by a pick up in US yields, adding sustainability to the move.

Looking ahead, today’s Non-farm Payrolls expect the economy to have added 175K jobs during last month and the jobless rate to stay unchanged at 4.7%. additionally Chicago Fed C.Evans (voter, dovish) is due to speak along with December’s Factory Orders, Services PMI by Markit and the ISM Non-manufacturing.

US Dollar relevant levels

The index is gaining 0.05% at 99.88 facing the next resistance at 100.06 (high Feb.1) ahead of 100.42 (high Jan.31) and finally 101.02 (high Jan.30). On the other hand, a breach of 99.19 (low Feb.2) would open the door to 98.92 (61.8% Fibo of the Nov-Jan. up move) and then 96.94 (low Nov.4).