5 Aug 2015
USD/JPY rallies to 2-month highs
FXStreet (Córdoba) - USD/JPY took a violent turn and pushed to fresh 2-month highs with no clear catalysts behind the move, after testing daily lows weighed by disappointing ADP employment report.
USD/JPY bottomed out at 124.00 as the knee-jerk reaction to private payrolls data but bounced sharply, overshooting previous highs. The pair picked up momentum following above-expectations July ISM services PMI for US (60.3 vs 56.2 exp) and climbed to a high of 124.86, last seen on Jun 8.
At time of writing, the pair is trading at 124.60, recording a 0.19% gain on the day, the third in a row as investors gear up for the US government nonfarm payrolls report on Friday.
USD/JPY levels to watch
As for technical levels, USD/JPY could find next resistances at 125.00 (psychological level) and 125.67 (Jun 8 high). On the flip side, supports are seen at 124.00 (psychological level/Aug 5 low), 123.79 (Aug 4 low) and the 123.55/51 area (50-day SMA/Jul 31 low).
USD/JPY bottomed out at 124.00 as the knee-jerk reaction to private payrolls data but bounced sharply, overshooting previous highs. The pair picked up momentum following above-expectations July ISM services PMI for US (60.3 vs 56.2 exp) and climbed to a high of 124.86, last seen on Jun 8.
At time of writing, the pair is trading at 124.60, recording a 0.19% gain on the day, the third in a row as investors gear up for the US government nonfarm payrolls report on Friday.
USD/JPY levels to watch
As for technical levels, USD/JPY could find next resistances at 125.00 (psychological level) and 125.67 (Jun 8 high). On the flip side, supports are seen at 124.00 (psychological level/Aug 5 low), 123.79 (Aug 4 low) and the 123.55/51 area (50-day SMA/Jul 31 low).