USD/JPY rises above 123.00 after ADP report

FXStreet (Córdoba) - USD/JPY extended intraday gains and rose above the 123.00 level following the release of better than expected ADP report.

US private sector added 237K new jobs in June, beating expectations of 218K and following an upwardly revised 203K the previous month. Investors follow the ADP report as a preview of the nonfarm payrolls report which will be released on Thursday. Analysts see the US economy adding 232,000 new jobs and today’s report is unlikely to alter expectations.

USD rises after ADP

USD/JPY rose to a fresh daily high of 123.13 and moved closer to Monday’s peak of 123.18. At time of writing, the pair is trading at 123.05, recording a 0.46% gain on the day.

USD/JPY technical levels

In terms of technical levels, if USD/JPY breaks above 123.18 (Jun 29 high), next resistances are seen at 123.88 (Jun 26 closing price) and 124.00 (psychological level. On the downside, supports are seen at 122.35 (Jul 1 low), 121.91 (50-day SMA) and 121.48 (Jun 26 low).

US ADP says private sector added 237K jobs in June

The data released by the Automatic Data Processing, Inc, (ADP) showed the US labour market continues to strengthen, which cements the expectation of a September rate hike in June, and supports Fed’s case of two rate hikes in 2015.
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