The USD/JPY pair has risen by 0.42% after dropping to a weekly low of 133.50, spurred by buyers stepping in at around a solid technical support level. This level of support was able to sustain the USD/JPY pair and attract buyers to enter the market.
Technical support levels are price levels where a security, in this case, the USD/JPY pair, may experience demand that could prevent it from falling further. In this case, the support level was strong enough to attract buyers who believed that the price would rebound.
April Nonfarm Payrolls Report Lifts US Dollar
Another factor that contributed to the rise of the USD/JPY pair is the upbeat April Nonfarm Payrolls report. The report showed that the US economy added 266,000 jobs in April, which was higher than the estimated 978,000 jobs.
This positive report has boosted the US Dollar against the Japanese Yen as investors believe that a strong economy will lead to a stronger currency. The report’s release also indicates that the Federal Reserve may reduce its stimulus measures, which would make the USD more attractive to investors.
USD/JPY Trading at 134.81
As of the time of writing, the USD/JPY is trading at 134.81 after dipping to a low of 133.88. This is a significant increase from its weekly low and indicates that the market is optimistic about the future of the USD/JPY pair.
This price movement may present a good opportunity for traders to enter the market and take advantage of the current bullish trend. However, traders should exercise caution and consider the potential risks before investing.
Conclusion
In conclusion, the USD/JPY pair has risen due to a solid technical support level and an upbeat April Nonfarm Payrolls report. This positive movement may present an opportunity for traders to enter the market and take advantage of the current bullish trend.
Traders should keep an eye on the market and consider the potential risks before investing. Additionally, they should conduct their own research and analysis to make informed investment decisions.
