EUR/USD Crashed Before It Was Over 100 Pips!

<p>&nbsp;The United States (US) NFP employment data report that was published last Friday has had an interesting and somewhat surprising price action effect on investors.</p><p><br /></p><p>Looking at the report, employment growth in September was much higher than forecast at 336,000 from 171,000.</p><p><br /></p><p>The average hourly opinion remained at 0.2% while the unemployment rate remained at 3.8% compared to forecasts for a drop to 3.7%.</p><p><br /></p><p>The US dollar strengthened as soon as the report was published, but fell again until trading closed in the last session.</p><p><br /></p><p>The price chart of the EUR/USD currency pair shows the volatile movement of the session.</p><p><br /></p><p>Initially the price plunged from the level around 1.05600 to below the level of 1.05000 when the NFP data was published at the beginning of the New York session.</p><p><br /></p><p>However, the price bounced back above 1.05000 to touch the 1.06000 highs and a slowdown around that closed the week's trade.</p><p><br /></p><p>Investors saw the difference in price opening (gap) earlier this week following the escalation of the Palestinian-Israeli war conflict over the weekend.</p><p><br /></p><p><br /></p><p>The price opened around the 1.05500 level but still remains above the support level of the Moving Average 50 (MA50) on the 1-hour time frame on the EUR/USD chart.</p><p><br /></p><p>If the price increase continues, the 1.06000 level will be tested again as resistance to be broken.</p><p><br /></p><p>If successful, the increase will continue towards the target of 1.07000 while displaying a bullish trend movement.</p><p><br /></p><p>However, if the price falls again, the support level at 1.0500 will again be the focus to be tested.</p><p><br /></p><p>If it breaks through lower, the previous week's support level around 1.04500 is seen to be hit again.</p>