- SWFX market sentiment is 54% bullish (+1%)
- 53% of pending orders in the 100-pip are to BUY
- US Employment Data sets at 12:30 GMT
The decline of the US Dollar continued on Friday against the Japanese Yen. However, Dukascopy analysts managed to spot the levels, which will play a crucial role in the upcoming trading sessions.
The Automatic Data Processing Inc. released better-than-expected Non-Farm Employment Change data of 204K for the month of April. The data exceeded forecasts for the fifth consecutive month.
"The labor market continues to maintain a steady pace of strong job growth with little sign of a slowdown," said Ahu Yildirmaz, vice president and co-head of the ADP Research Institute.
US employment data
Today Swing Traders will be paying attention to the US monthly employment data sets, which will be released at 12:30 GMT.
Tune in to see the live coverage done by Dukascopy analysts on our live webinar platform at 12:20 GMT. In addition, at 12:00 GMT this week's Friday webinar of the Analytics team will start. This Friday a full overview of our publications is planned together with a questions and answers session in the chat.
USD/JPY continues to decline
The recent decline of the US Dollar against the Japanese Yen is still being seen as a temporary junior move in the borders of a larger ascending pattern. However, on Friday the decline could have been mapped by using a rather medium scale descending pattern.The Pattern was set to guide the currency exchange rate down to the combined support of the weekly pivot point near 108.75. Moreover, the pivot line was about to be strengthened by the lower trend line of the dominant pattern.
Most likely the rate would rebound against the just described support levels.
Hourly Chart
On the daily chart one can add additional information to understand the recent decline of the currency pair. Namely, draw a long term ascending channel pattern on the daily chart.
By doing that one can see that the pair recently broke the previously active channel up, which represented a junior surge in the borders of the mentioned dominant pattern.
Daily chart
SWFX traders are increasingly bullish on the US Dollar, as 54% of open positions were long during the morning hours (+1%). Set up orders are likewise bullish with 53% of them being set to buy the Greenback (-5%).
The market sentiment of OANDA traders is strongly bullish with 57% of them holding long positions. In addition, the number of long positions of Saxo bank traders is 62%.
Spreads (avg, pip) / Trading volume / Volatility