EUR/USD side-lined above 1.1400 in a typical pre-NFP trading

The EUR/USD pair continues to move back and forth in a 20-pips narrow range, reflecting a typical scenario that persists before the US NFP release.       

EUR/USD: 1.1500 or 1.1300 on NFP?

The spot trades around a flat-lined so far this session, but manages to hold 1.14 handle, as markets turn cautious and refrain from placing any directional bets on EUR/USD ahead of the crucial US labor market report, which holds the key for future Fed rate rises and balance sheet normalization plans.

Moreover, the major also tracks the upside consolidation phase seen in the German 10-year bund yields, after it hit 18-month tops above 0.570% on hawkish ECB monetary policy minutes released a day before.

ECB’s Knot: Reflation has 'clearly' replaced deflation

Meanwhile, the latest comments from the ECB policymaker Knot is largely ignored by markets, as all eyes remain on the US payrolls data for the next direction in EUR/USD. Besides, the G20 meetings and Fed monetary policy report also remains in focus.

NFP Preview: Expect mixed labour fundamentals - Goldman Sachs

EUR/USD Technical Levels

According to Valeria Bednarik, Chief Analyst at FXStreet, “Overall, the upside remains favored, with a strong long-term resistance at 1.1460, with a break above it favoring additional gains up to 1.1490 first, and 1.1525 then. Supports today come at 1.1380, 1.1340 and 1.1290.”