The United States Federal Reserve has just revealed that it will keep the Federal Funds Rate unchanged at 5.50%. The event was followed by the press conference of the Chairman of the Federal Reserve Jerome Powell. His initial talk caused a boost of the USD. However, the afterwards question and answers session crashed the USD.
Eventually, on Thursday morning the rate appeared to have found support in the combination of the 100 and 200-hour simple moving averages at 150.30 and 150.15. Meanwhile, resistance was provided by the 150.50 level and the weekly R1 simple pivot point at 150.48.
Economic Calendar
On Friday, watch the US employment data release at 12:30 GMT. The release will consist of the US Average Hourly Earnings monthly change, Non-Farm Employment Change number and the official Unemployment Rate. This event could cause a notable US Dollar move.
In regards to next week, it appears that there are no pre-scheduled notable fundamental events that could impact the financial markets.
USD/JPY hourly chart analysis
A decline of the rate below the moving averages is expected to look for support in the 150.00 mark and the weekly simple pivot point at 149.90. Below these levels note the support of the 149.50 level and the zone below it. In addition, the weekly S1 simple pivot point and the 149.00 could stop a decline.On the other hand, a recovery of the US Dollar would have to reach above 150.50 level, before approaching the 151.00 mark and the 50-hour simple moving average. Higher above, note the weekly R2 at 151.35, the 151.00 level and the recent high level at 151.70.
Hourly Chart
USD/JPY daily chart's review
On the daily candle chart, the rate has additional support from the ascending 50-day simple moving average, which has reached above 148.50. Meanwhile, note the marked 2022 high level at 152.00.Daily chart
Read More: Technical Analysis
Traders are shorting
On Thursday, traders were bullish on USD/JPY, as 55% of open positions on the Swiss Foreign Exchange were long.
Meanwhile, trader pending orders in the 100-point range around the current exchange rate were 56% to buy.