FXStreet – The Dollar climbed in comparison to the Japanese Yen to 111,47 and marked the highest level for six days. Then, a correction occurred and the currency pair turned slightly to the South. The good US employment figures supported the Greenback initially on a broad Front, while the Japanese Yen fell due to rising US yields under pressure.
According to the market research Institute Markit and the Institute of Supply Management, economic activity in the Manufacturing sector as of the reporting month of may. The purchase prices of the ISM Index revealed, however, unforeseen weaknesses (from 68.6 to 60.5), which negated the positive impact of the report on the US Dollar.
Finally, the currency traded pair on 111,27, and to 0.44 percent in the Plus. This corresponds to the best Performance since may 18. May.
“The technical indicators in the 4-hour chart of the rise in the positive area, the price remains below the moving averages, which limits the chances of a stronger recovery movement. A jump over the mark of 111,60, is likely to let the currency pair in the direction of 112,00 rise. There is a first significant resistance from the bears name expected“, said Valeria Bednarik, chief market analyst at FXStreet.
On the underside of the losses could be USD/JPY with a break of the psychologically important mark of 111,00 again.
** FXStreet News Editorial, FXStreet**