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4 Jun 2015
USD/JPY off highs near 124.50
FXStreet (Mumbai) - The US dollar extends overnight gains and remains elevated versus the Japanese yen in the mid-Asian session, lifting USD/JPY way beyond 124 handle, largely on greenback retains previous gains as markets shrugged off an unexpected drop in ISM services data released on Wednesday.
USD/JPY supported above 124
Currently, the USD/JPY pair trades 0.18% higher at 124.48, retreating from fresh session highs reached at 124.57 last hours. The USD/JPY pair extends it upward trajectory as the USD bulls continue to cheer the upbeat ADP jobs and trade data from the US released yesterday which added to the recent increased bets of Fed rate hike as early as Sept this year, completely ignoring dismal US ISM non-manufacturing PMI report.
The ADP employment report increased to 201,000 from 165,000 booked previously, 1,000 jobs above the expectations of a hike by 200,000 in May. While the nominal shortfall shrank 19.2% to $40.9 billion, a lot smaller than the $44 billion the markets had been expecting, and following a downwardly revised $50.6 billion gap in March.
Meanwhile, in absence of significant macro data from Japan this session, markets now turn their attention towards a set of US data releases due later in the day for further momentum.
USD/JPY Technical Levels
To the upside, the next resistance is located at 124.69 (June 3 High) levels and above which it could extend gains 124.93 (June 1 High) levels. To the downside immediate support might be located at 124 below that at 123.74 (June 2 Low) levels.
USD/JPY supported above 124
Currently, the USD/JPY pair trades 0.18% higher at 124.48, retreating from fresh session highs reached at 124.57 last hours. The USD/JPY pair extends it upward trajectory as the USD bulls continue to cheer the upbeat ADP jobs and trade data from the US released yesterday which added to the recent increased bets of Fed rate hike as early as Sept this year, completely ignoring dismal US ISM non-manufacturing PMI report.
The ADP employment report increased to 201,000 from 165,000 booked previously, 1,000 jobs above the expectations of a hike by 200,000 in May. While the nominal shortfall shrank 19.2% to $40.9 billion, a lot smaller than the $44 billion the markets had been expecting, and following a downwardly revised $50.6 billion gap in March.
Meanwhile, in absence of significant macro data from Japan this session, markets now turn their attention towards a set of US data releases due later in the day for further momentum.
USD/JPY Technical Levels
To the upside, the next resistance is located at 124.69 (June 3 High) levels and above which it could extend gains 124.93 (June 1 High) levels. To the downside immediate support might be located at 124 below that at 123.74 (June 2 Low) levels.