AceTraderFx May 04: Intra-Day Market Moving News and Views -USD/JPY
Intra-Day Market Moving News and Views
04 May 2018 03:00GMT
USD/JPY - 109.02… The greenback remains on the back foot in relatively subdued Asian trading as Japanese financial markets for the 2nd day for Golden Week holiday.
The pair fell in Asian, European as well as New York sessions on broad-based yen buying due to falling U.S. yields (the benchmark 10-year fell from last Wednesday’s 4-year peak of 3.035% to 2.927% ahead of New York open), price dropped from 109.87 (AUS) to as low as 108.93 in New York morning, however, rebound in U.S. stocks in New York afternoon lifted price to 109.24/25.
As dlr has fallen again in Asia, suggesting consolidation with downside bias remains and stops below 108.90 is now in focus.
On the upside, offers are tipped at 109.20/25 and more all with stops above 109.60.
Looking from a technical perspective, drl’s decline from Wednesday’s fresh 11-week peak of 110.04 suggests recent upmove has made a temp. top and even if today’s U.S. payrolls report is upbeat, price is unlikely to climb above said res level, so whilst buying on dips is still cautiously favoured, profit should be taken on subsequent bounce.
U.S. will release a slew of data starting with NFP, average earnings and unemployment rate due out at 12:30GMT.
After that, we have 3 Fed officials delivering speeches in New York afternoon session (please refer to our EI page for details).