Key Highlights
- USD/JPY started a fresh decline below the 132.50 support.
- It broke a key rising channel with support near 132.30 on the 4-hours chart.
- EUR/USD could rise again and clear the 1.1000 resistance.
- The US nonfarm payrolls could decline from 311K to 240K in March 2023.
USD/JPY Technical Analysis
The US Dollar struggled to clear the 133.80 resistance against the Japanese Yen. USD/JPY started a fresh decline below the 133.20 and 132.80 support levels.
Looking at the 4-hours chart, the pair settled below the 132.50 level, the 100 simple moving average (red, 4-hours), and the 200 simple moving average (green, 4-hours).
Besides, the pair traded below a key rising channel with support near 132.30 on the same chart. It tested the 130.50 zone and started a consolidation phase. On the upside, the pair is now facing resistance near the 132.20 level.
The next key resistance is near the 132.50 zone. A clear move above the 132.50 resistance might send the pair toward the 133.20 zone. Any more gains might send the pair towards 133.80.
On the downside, immediate support is near the 130.50 level. The next major support is near the 130.00 level, below which the pair might test the 129.20 zone.
Looking at EUR/USD, the pair is gaining pace and it seems like the bulls could aim for a move above the 1.1000 resistance.
Economic Releases
- US nonfarm payrolls for March 2023 – Forecast 240K, versus 311K previous.
- US Unemployment Rate for March 2023 – Forecast 3.6%, versus 3.6% previous.
