The European Central Bank President Mario Draghi signaled the bank was ready to take further steps to counter low inflation. The ECB is concerned about continued low inflation after consumer prices held below 1 percent for a sixth month in March.Tonight, all eyes will be on the US employment data which is expected to show payrolls growth by 200,000 in March after a gain of 175,000 in February. The ECB's President Mario said Thursday that the Governing Council is already leaving its worst fears that the European economy would see “protracted stagnation,” as unemployment across the euro zone remains high.

Technical view

EUR/USD is trading at 1.3723 in Asia's trading session. The pair has been in a downtrend from 1.3967 levels travelling towards to the lower levels by breaking all the short-term moving averages. On the down side, the support levels exist at 1.364, a break below this will push the price to 1.3548 and 1.3477 levels. On the up side, 1.37764 is the strong resistance (intraday). If the pair crosses this level, short covering will take place and the pair will push to 1.3810 levels. The downfall is limited due to oversold RSI levels in the H4 chart. For positional basis, traders can go short with sl 1.3735 on a closing basis for targets at 1.3640, 1.3548, and 1.3477 levels. A day close above the 50SMA (red line) of 1.3735 will show us an up move to 1.3763, 1.3781, and 1.3820 levels.

Intraday- 1.3735 above only safe for longs

For intraday purpose, the pair is facing stiff resistance level at 50&200MA levels, noted as R1. Until the pair crosses the R1, we can't see up move. Only above the R1, the pair can travel up to R2 (1.3820), above this, R3 is 1.3876. On the down side, If the pair breaks the 1.3794 level, it will drift towards 1.365 and 1.3642 levels immediately. I expect "limited" from the current levels at 1.3722.

Recommendations-

Traders who favor the euro can buy with sl 1.3694 for targets 1.3735, 1.3777, and 1.38 (intraday).

For bears - sell below 1.3694 for targets 1.365 and 1.3642.