The US non-farm payroll report is arguably the most important and volatile release in any given month. Traditionally, markets respond with huge moves on the release of the data
WHAT IS NFP? Simple words
TheNFP is the abbreviation for non-farm payrolls. It forms part of the monthly US employment report from the U.S. Bureau of Labor Statistics.
The NFP report shows the total number of paid workers in America not including seasonal farm workers, government workers, private household employees and employees of nonprofit organizations.
NFP TRADING EXAMPLES
the market expectation was for 160K new jobs to be created in the prior month. The actual result came in below expectations, which was, therefore, negative for the USD.
That would give us an upside bias here in the EUR/USD as we expect the Greenback to weaken.
As you can see on the chart, there was a bit of whip back and forth on the bar when the NFP report was released. As mentioned, we need to avoid the minutes after the release.
We can also see that there was a round number resistance level at 1.040 that was a good level to key off, post the NFP report.
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