USD/JPY: Yen in Demand Amid Risk-Off, 107 Tested
The USD/JPY
pair found support just ahead of 107 handle and now makes
minor-recovery attempts as the JPY bulls jumped back on the bids amid
poor risk sentiment across Asia.
USD/JPY fails once again near 107.50
Having
faced rejection just below 107.50 for the third straight session, the
dollar-yen pair edges lower in the Asian morning, with the persistent
risk-off moods favouring the yen as a safe-haven.
Moreover, the
greenback retreats against its major peers after the recent strength, as
focus turns towards the key risk event for today, the US payrolls data due later in the NY session. At the time of writing, USD/JPY trades
near daily lows around 107.10., down -0.16% on the day, while Japan’s
Nikkei drops -0.80%, while the Chinese indices are down 0.20% to 1%.
The
US private sector is expected to have created 200,000 new jobs in
April, slightly less compared to the figure of 215,000 booked a month
ago.
USD/JPY Technical levels to watch
In
terms of technicals, the immediate resistance is located at 107.50 (May
4 high/ psychological levels). A break above the last, the major could
test 108/108.20 (Apr 29 High). While to the downside, the immediate
support is seen at 106.94/90 (daily S1/ 5-DMA) and below that at 106.71
(1h 100-SMA).
