After retracing downwards below all of the short term support levels on Wednesday, the USD/JPY jumped on Thursday and broke all close by technical resistance levels.
By the middle of Thursday's trading session the rate had reached above the 111.50 level.
The Bureau of Labor Statistics released Non-Farm Employment Change data lower-than-expected of 20K compared to forecast 180K. Note, that the Average Hourly Earnings and the Unemployment Rate were released at the same time with the Non-Farm Employment Change.
President Donald Trump retweeted: "This is as good a time as I can remember to be an American Worker. We have the strongest economy in the world." Stuart Varney, So true! ".
No more data this week
The week's important macroeconomic data releases have ended. Join on Monday to the Economic Calendar analysis stream on the Dukascopy Analytics YouTube channel to watch what is next.In the meantime, take into account that the Brexit turmoil is still occurring in the British Parliament. That event has taken up most attention of all Forex fundamental traders.
USD/JPY short term daily review
During Wednesday's trading session, the rate passed through 55-hour and the 100-hour simple moving averages to end the trading session at 111.20. On Thursday morning, the currency exchange rate broke the resistances of the SMAs to trade at the 111.60 mark.In regards to the near-term future, most likely, the 200-hour simple moving average will support the rate to push it to the 111.80 level.
However, the US Dollar might appreciate against the Japanese Yen to force the rate to stay at the 111.40 level for the rest of the trading session.
Hourly Chart
On the daily chart, the rate had additional technical support. The 100 and 200-day simple moving averages were located at 111.30 and 111.40 levels.Meanwhile, the pair's recent decline has not touched the lower trend line of the dominant channel up pattern. The rate, in theory, should reach it and bounce off it.
Daily chart
Trader open position volume on the Swiss Foreign Exchange remains short, as 61% of the volume was short on USD/JPY.
Meanwhile, in the 100-pip range around the pair trader set up pending orders were set to sell. Namely, 57% of orders were short.