USD/JPY surges through mid-114.00s after stellar ADP report

The USD/JPY pair build on to its move beyond and jumped to fresh multi-day tops beyond mid-114.00s after the US ADP report.

The pair caught fresh bids after the ADP report showed the US private sector employers added stellar 298K new jobs during February. The headline number bettered previous month’s 246K news jobs and surpassed even the most optimistic estimates. 

Upbeat private sector employment data provided an additional boost to the already strong greenback, lifting the key US Dollar Index further beyond the 102.00 handle.

Technical levels to watch

A follow through buying interest beyond 114.75 level is likely to accelerate the up-move towards the key 115.00 psychological mark, above which the pair seems all set to head towards its next major hurdle near 115.30-35 region.

On the downside, 50-day SMA resistance break near 114.15-10 region now becomes immediate support, which if broken could drag the pair back towards 113.85 horizontal level ahead of an important support near 113.60-55 region.