USDJPY Eyes 125.89 Ahead of NFP News

FXOpen

The US Dollar (USD) extended upside movement against the Japanese Yen (JPY) on Friday, increasing the price of USDJPY to more than 124.75 ahead of the US Nonfarm Payrolls release. The technical bias already remains bullish because of a Higher Low in the recent wave on daily chart.

Technical Analysis

As of this writing, the pair is being traded around 124.80. A hurdle may be noted near 125.00, the psychological number ahead of 125.89, the swing high of the last major upside rally as demonstrated in the following daily chart.

On the downside, the pair is likely to find a support around 124.59, the 76.4% fib level ahead of 123.79, the 61.8% fib level and then 120.40, the swing low of the last major dip on daily chart. The technical bias is bullish and will remain bullish as long as the 120.40 support area is intact.

Nonfarm Payrolls

The US Bureau of Economic Analysis is due to release the Nonfarm Payrolls report today during the early New York session. The U.S economy is expected to have added 223,000 nonfarm payrolls in July, enough to allow the Fed to pull the trigger on its first rate hike in nine years. The Fed will consider a possible first rate hike at its Sept. 16 and 17 meeting, but economists say that even with a strong report, it is far from clear cut when the Fed will move off of the zero fed funds target rate it has had in place since late 2008.

Trade Idea

Considering the overall technical and fundamental outlook, selling the pair around the swing high of the last major rally appears to be a good strategy in short to medium term if we get a bearish pin bar, bearish engulfing candle or shooting star on the daily chart after the NFP report.

Trade over 50 forex markets 24 hours a day with FXOpen. Take advantage of low commissions, deep liquidity, and spreads from 0.0 pips. Open your FXOpen account now or learn more about trading forex with FXOpen.

This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.

Latest from Forex Analysis

Commodities and European currencies Test Key Supports EUR/USD Analysis: The Price Today Has Set Its Minimum Since the Beginning of March Market Analysis: GBP/USD Dives While USD/CAD Gains Bullish Pace The US Currency Corrects After Recent Growth USD/JPY Price Analysis: Consolidation ahead of US News

Latest articles

Indices

Although UK-100 Index Is Near All-time Highs, UK Economy Slips into Recession

Technically, a national economic recession is defined as two consecutive quarters of contraction, and yesterday's Office for National Statistics data confirmed that this has happened — UK GDP fell in the third and fourth quarters of 2023 by 0.1% and

Cryptocurrencies

DOGE Price Increases by 170% in Less Than 2 Months

On February 1, 2024, the DOGE/USD rate was = 0.0783. On the last Friday of March, it rose to 0.2150. The rising price means Dogecoin is now the eighth-largest cryptocurrency in the world by market capitalization, overtaking Cardano

Commodities

Market Analysis: Gold Price and Crude Oil Price Gain Bullish Momentum

Gold price started a steady increase above the $2,200 resistance level. Crude oil prices are gaining bullish momentum and might rise toward $85.00.

Important Takeaways for Gold and Oil Prices Analysis Today

· Gold price started a decent increase

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 65.68% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.