Rally into it. Fall after it. Back toward 1.0600

The ADP came in better than expectations at 217K vs 190K. In pre-data trading there was a spike higher in the pair as liquidity dried. Then a quick plunge to the lows of the day at 1.05814 (the low came in at 1.05809). The price has moved back toward the 1.0600 level. Mike reported earlier that there are 4bln options expiring at 1.0600. The price is staying below the level. A move below the lows for the day will be key for the pair. PS. the 100 hour MA comes in at 1.05966. The price is back below that level too.

The low for last weeks trading bottomed at 1.0565. The low from this week (on Monday) extended but only by a few pips to 1.0557. Those would be the next obvious targets to the downside for the EURUSD. Below that and traders will be looking toward the swing lows for the year at the 1.0520 and 1.0462 respectively

We are making new lows as I type. So sellers are trying to make a play as hopes for a strong employment report coupled with ECB action tomorrow make the EURUSD selling (weaker CPI flash today) the more obvious play fundamentally, and the technicals are also more negative.