The USD/JPY pair saw a significant rally towards the 152.00 level recently before entering a consolidation phase. Interestingly, there is a major bullish trend line forming with a crucial support level at 151.20 on the 4-hour chart. This indicates that the pair may have some potential for further upward movement in the near future. However, it is essential to keep an eye on the resistance levels near 151.80 and 152.00. Breaking above these levels could pave the way for more bullish momentum, with the next target for the bulls potentially being at 153.20. On the flip side, a downside correction could occur if the pair fails to breach the mentioned resistance levels. Immediate support can be found at 151.20, with a major support level resting at 150.65 or the 23.6% Fib retracement level. A break below 150.65 may lead to a decline towards the 150.00 support, followed by a possible drop to the 148.50 level.
Gold prices have also experienced a rally, with the precious metal testing the $2,300 resistance level. This could indicate a potential upcoming consolidation phase for gold. The bulls have managed to push the price higher, but it remains to be seen whether they can maintain this momentum in the face of possible resistance levels. Traders should closely monitor the price action around the $2,300 level for any signs of a breakout or reversal.
In terms of economic releases, the US nonfarm payrolls for March 2024 are forecasted to decrease from 275K to 200K, which could have implications for the USD/JPY pair. Additionally, the US Unemployment Rate for the same period is expected to remain at 3.9%. These projections could influence market sentiment and impact trading decisions in the near term. Traders should stay informed about these economic indicators to make informed trading choices.
The recent market analysis report highlights the potential for further upward movement in the USD/JPY pair, along with a consolidation phase in gold prices. Economic projections for the US also provide insight into possible market trends. Traders and investors should carefully consider these factors and conduct thorough analysis before making any trading decisions.