FXStreet (Mumbai) – The USD/JPY strengthened in Europe on account of risk-on in equities, but awaits the US non-farm payrolls report to see a breakout from the symmetrical triangle formation on the daily chart.
Focus on US data
The pair has been squeezed hard in the symmetrical triangle formation, heading into the payrolls report, which is expected to show the economy added 203K jobs in September. The August print is also expected to be revised higher.
Depending on the payrolls number, the pair could witness a violent breakout from the symmetrical triangle formation. The sentiment on the Wall Street after the payrolls release could also come into play later today.
USD/JPY Technical Levels
At 120.14, the immediate resistance is seen at 120.41 (July 8 low), above which the pair could rise to 120.87 (200-DMA). On the other side, support is located at 119.78 (daily low) and 119.05 (Sep 18 low).
(Market News Provided by FXstreet)