The absence of important fundamental statistics in the first half of the day and the concentration of traders and investors on US labor market data led to the persistence of trade in the narrow sideways channel in the trading instruments of EUR/USD and GBP/USD.

The data on the growth of orders in the manufacturing sector of Germany did not affect the market.

According to the report of the Ministry of Economy, orders in June this year increased by 1.0% compared with May. The main growth was due to the strengthening of domestic demand, which will support the growth of positive sentiment among German companies. Economists forecast an increase of 0.5%.

Orders in the domestic market in June grew by 5.1% compared to the previous month, while export orders in June decreased by 2.0% compared to May.

The pace of hiring in the US in July seemed better than the forecasts of economists, which led to an increase in the US dollar in the afternoon. According to the Ministry of Labor, the number of jobs outside the US agriculture in July this year increased by 209,000 compared with the previous month, while economists projected job growth of 180,000.

The unemployment rate fell to 4.3% from 4.4% . Data for June were revised upward, to 231,000.

As for the technical picture of the EUR/USD pair, a break of 1.1850 could lead to increased pressure on the European currency with a return to the region of a larger support level of 1.1790.

The British pound also was in the channel in the morning after yesterday's news, which led to a sharp fall in the pair GBP/USD. The current quotes of the trading instrument reflect the confidence of investors in the future. Pressure on the pound can seriously resume if the moderate scenario for Brexit suddenly changes, which will lead to a revision of the Bank of England's forecast for monetary policy.

Many British companies and households are counting on a smooth exit of the UK from the EU, and the failure of negotiations on exit conditions will create serious downside risks, including for economic growth.

As for the technical picture of the GBP/USD pair, the pound is likely to continue its decline with the main goal of updating weekly support levels around 1.3050 and 1.3010. The close of the day below the level of 1.3100 will also serve as an additional signal for the formation of a bearish trend for the British pound.