EUR/USD remains below 1.06 as the week comes to an end

The EUR/USD pair slipped below 1.06 late Friday on fresh bearish momentum and is about to wrap up the week with losses for the second time in a row. At the moment, the pair is trading at 1.0590, down 0.5% on the day, having started the week at 1.0668.

The pair fluctuated during the first half of the NA session as the NFP data received mixed reactions. Despite the disappointing gain of 98,000 jobs in March, Ryan Sweet, an economist at Moody’s Analytics Inc. argued that the trend in job growth remains solid and the overall economy is still doing well. 

Later on, following the statements from New York Fed President William Dudley, the greenback received an added boost. Dudley's comments suggested that the trimming of the balance sheet wouldn't disrupt the rate hikes and the 10-year Treasury yield leaped to 2.38% to end the day up 1.7%.

• Fed's Dudley: Rates will be primary policy tool

Technical outlook

With a breach of 1.0525 (Mar. 9 low), the pair could drop further towards 1.0455 (Jan. 11 low) and 1.0390 (Jan. 4 low). On the upside, a break above the 100-DMA at 1.0630 would aim for 1.0700 (psychological level) before 1.0735 (20-DMA).