EUR/USD: US jobs data and Fed officials statements will lead the pair into a potentially stormy day

The single European currency is trading at the threshold of the 1,06 level in the early hours of Friday morning, in anticipation of a very rich agenda with new jobs in the United States standing out.

Signs of fatigue in the US currency remain on the table, giving the European currency the opportunity to remain well above the 1.05 level, trying to maintain a mild upward momentum and move even further away from its recent lows of 1.0330.

Nevertheless, the critical catalysts that had burdened the European currency recently, leading it to significant losses, remain on the table.

Political uncertainty in the eurozone is widening as the French government fell and, combined with the political situation in Germany, is creating intense concerns.

At the same time, geopolitical risks have not receded while the course of the European economy continues to be troubling.

In such an environment, the continuation of the European currency’s reaction by maintaining its upward momentum for a long period of time remains problematic, especially if today’s data on new jobs and unemployment in the United States do not disappoint.

Today’s agenda is complemented by many statements by Fed officials who, a few days before silencing any statements due to the upcoming decision, are expected to fuel bets on the prospect of a 25-point interest rate cut or not.

The 70% chance of a 25 basis point cut in interest rates is extremely fragile and today’s data could significantly change this figure.

I am not thinking of changing my strategy by remaining on the wait-and-see stance and would like some sharp dip near the recent lows of 1,0330 for buy the Euro .