USD/JPY moves up while weakest US data weigh on yields despite commercial uncertainty

• The USD/JPY is negotiated in the middle zone of 142.00 after mixed economic data and cautious comments on trade.
• The weak Jolts employment offers in the US and consumer confidence figures contrast with continuous commercial uncertainty between the US and China.
• The technical indicators suggest a bearish trend with the key SMA pointing down, while immediate support levels and resistance are in the focus.

The USD/JPY pair is negotiating around the 142.00 zone during the American session on Tuesday. The torque saw an ascending movement as the US dollar (USD) stabilized after the publication of Jolts job offers data in the US of the expected and a strong fall in consumer’s confidence. However, profits remain limited due to continuous uncertainty around the US trade negotiations, particularly with China.

The Dow Jones Industrial Average (DJIA) experienced a notable increase of more than 300 points, or 0.80%, since the weakest economic data of the US hinted possible cuts in interest rates in the future, which led to a decrease in the yields of the US Treasury bonds US Treasury, Scott Besent, on the lack of imminent trade agreements and the statements of the White House Secretary, Karoline Leavitt, on the possible dissemination of Amazon fees injected a cautious note in the market in general.

In the Data Front, the US Labor Statistics Office (BLS) reported that job offers for March fell to 7.19 million, below the expected 7.5 million and the previous reading of 7.48 million. This marked the lowest level since September, indicating a cooling in labor demand. Adding to the negative economic image, the Conference Board Conference Conference Index collapsed to 86.0 in April, its lowest level in almost five years, significantly exceeding the forecast of 87.5 and 93.9 of the previous month. This fall indicates a growing pessimism among American consumers.

Despite the weakest data, US Treasury Secretary Scott Besent said that President Donald Trump is using “strategic uncertainty” in commercial negotiations. Meanwhile, the Japanese Yen (JPY) weakened on all fronts, yielding even less than other shelter currencies, since investors anticipate weak internal economic data and upcoming commercial discussions between the US and Japan. The Bank of Japan (BOJ) is expected to maintain its current monetary policy, leaving the JPY susceptible to external factors and policy inaction, according to Shaun Osborne, head of FX of Scotiabank. The decision on the Boj’s interest rate is scheduled for Thursday.

Technical Analysis of the USD/JPY

From a technical analysis perspective, the USD/JPY torque is showing bassist signals. Currently, negotiating around 142.00, the PAR has registered a slight gain of approximately 0.22% in the day, but remains within a range defined by 141.96 and 142.76. While the relative force index (RSI) in 40.03 offers a neutral perspective and the MACD indicates a possible purchase signal, the general trend seems bassist. The simple mobile average (SMA) of 20 days in 144.03, the 100 -day SMA in 151.16 and the 200 -day SMA in 149.95 suggest sales pressure. The RSI Fast stock at 77.40 and the Bull Bear Power indicator in -1.59 are both neutral. In addition, the 10 -day exponential (EMA) mobile average at 142.80 and the 30 -day EMA in 145.13 also point towards a sales signal. Immediate support is identified around 142.26, while resistance levels are grouped in 142.80, 142.87 and 144.02.

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