USD/JPY tumbles toward 149.00 after NFP

US Dollar drops sharply following a weaker-than-expected US jobs report.
USD/JPY has lost almost a hundred pips so far and is approaching weekly lows.

Matías Salord FXStreet

The USD/JPY tumbled from 150.20 to as low as 149.27 following the release of the US official employment report. The US Dollar experienced broad-based weakness after the numbers came in weaker than expected. Wall Street futures are up, extending the weekly rally. Commodity prices are also sharply up.

Nonfarm Payrolls rose by 150,000 in October, below the market consensus of 180,000. The unemployment rate also increased from 3.8% to 3.9%. These figures triggered a strong market response.

US yields collapsed, with the 2-year yield falling from around 5% to 4.85% and the 10-year yield dropping from 4.64% to 4.55%. The US Dollar Index broke below 105.40, reaching its lowest level since September 20.

The USD/JPY currently holds a bearish tone as it approaches 149.00, and a break below that level would bring the weekly low of 148.77 into focus. Consolidation around the current levels could indicate that the short-term trend is changing, which would be welcome news for Japanese officials. However, for this trend to continue, US bonds need to remain in demand.

Despite rising against the US Dollar, the Japanese Yen is falling against the rest of the G10 currencies on the back of risk appetite.

USD/JPY Technical levels

USD/JPY

Overview
Today last price	149.43
Today Daily Change	-1.01
Today Daily Change %	-0.67
Today daily open	150.44

Trends
Daily SMA20	149.8
Daily SMA50	148.58
Daily SMA100	145.68
Daily SMA200	140.29

Levels
Previous Daily High	150.97
Previous Daily Low	149.85
Previous Weekly High	150.78
Previous Weekly Low	149.32
Previous Monthly High	151.72
Previous Monthly Low	147.32
Daily Fibonacci 38.2%	150.28
Daily Fibonacci 61.8%	150.54
Daily Pivot Point S1	149.87
Daily Pivot Point S2	149.3
Daily Pivot Point S3	148.74
Daily Pivot Point R1	150.99
Daily Pivot Point R2	151.54
Daily Pivot Point R3	152.12

Author

Matías Salord

FXStreet

Matías started in financial markets in 2008, after graduating in Economics. He was trained in chart analysis and then became an educator. He also studied Journalism. He started writing analyses for specialized websites before joining FXStreet.

EUR/USD holds firm above 1.1900 as US NFP looms

EUR/USD holds its upbeat momentum above 1.1900 in the European trading hours on Wednesday, helped by a broadly weaker US Dollar. Markets could turn cautious later in the day as the delayed US employment report for January will takes center stage.

GBP/USD recovers losses despite rising UK political risks, BoE rate cut bets

Pound Sterling advances against the US Dollar after registering modest losses in the previous session, trading around 1.3650 during the Asian hours on Wednesday. The pair could extend losses as the Pound Sterling faces pressure from rising political risks in the UK and growing expectations of near-term Bank of England rate cuts.

Gold sticks to gains near $5,050 as focus shifts to US NFP

Gold holds moderate gains near the $5,050 level in the European session on Wednesday, reversing a part of the previous day's modest losses amid dovish US Federal Reserve-inspired US Dollar weakness. This, in turn, is seen as a key factor acting as a tailwind for the non-yielding yellow metal ahead of the critical US NFP release.

US Nonfarm Payrolls expected to show modest job gains in January

The United States Bureau of Labor Statistics will release the delayed Nonfarm Payrolls data for January on Wednesday at 13:30 GMT. Investors expect NFP to rise by 70K following the 50K increase recorded in December.

Dollar drops and stocks rally: The week of reckoning for US economic data

Following a sizeable move lower in US technology Stocks last week, we have witnessed a meaningful recovery unfold. The USD Index is in a concerning position; the monthly price continues to hold the south channel support.

BNB prolonged correction signals deeper bearish momentum

BNB (BNB), formerly known as Binance Coin, is trading below $618 on Wednesday, marking the sixth consecutive day of correction since the weekend. The bearish price action is further supported by rising short bets alongside negative funding rates in the derivatives market.