USD/JPY – Holds 107, 108.50 Resistance to Hold Until US Payrolls

The Dollar rallied against the Yen to an overnight high at 108.09 after holding an overnight low at 107.015 despite the awful US Jobless Claims report. Japanese 10-year JGB yields slipped to -0.03% while US 10-year rates were unchanged at 0.61%. The 20.6% surge in Oil prices boosted USD/JPY higher to finish just under 108.00

FXCM USDJPY Hourly Chart - 03 April 2020
FXCM USDJPY Hourly Chart – 03 April 2020

USD/JPY could rally further if oil prices continue to climb. A Russian spokesperson this morning denied that Russia agreed to President Trump’s request which he tweeted earlier. The market also moves ahead with the spotlight on the US Jobs report. A rise of more than 100,000 jobs lost will see USD/JPY challenge 107.00 again.

Immediate support for today lies at 107.50 followed by 107.00 and then 107.50. Immediate resistance can be found at 108.10 followed by 108.50. Look for consolidation today with a likely 107.20-108.20 range until the Payrolls report.

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