Extended its post ECB rally to..........>

EURO-DOLLAR: Extended its post ECB rally to $1.1384 in early European trade

before rate corrected back into a $1.1317/37 range into NY. Rate managed to edge

to $1.1344 in early NY before dropping to $1.1283 in reaction to the release of

better than expected US employment data. The USD gained an initial boost from

the release, but move was countered as equity market also reacted positively

which in turn boosted risk which weighed back on the USD. However, EUR/USD

recovery struggled to build back above $1.1320, eventually settling around

$1.1290 into the European close. Further sales in NY has seen rate challenge the

$1.1280 support, which has so far held.

- Support remains at $1.1280 ahead of $1.1250 and $1.1210/00. Resistance

$1.1320/25, $1.1350, $1.1384.

- Focus for the coming week turns to the Federal Reserve rate decision. This

week's decision may have been complicated by the May jobs report, and markets

will be watching to see if this changes any approach to policy. Japanese GDP,

Chinese and US inflation data and prelim Uni. of Michigan confidence.