JPY: USD/JPY - Fails Toward 154.50 Again On A Weaker ADP Print

The overnight range was 153.67 - 154.44, Asia is currently trading around 154.10. The pair failed again back toward the 154.50 area as the USD got sold off in response to a weaker ADP print. The return of a positive sentiment in risk has brought the focus in USD/JPY back to the 154-155 resistance area. A sustained break above here is needed to potentially see the uptrend regain upward momentum, through here the focus would then turn toward the 160 area where I would start to become wary of intervention risks. On the day it looks to be a 153.60-154.50 range, look for dips back toward 152.00 and then the more important 149.00-150.00 area to be supported.

• MNI BRIEF: Japan Oct Sentiment Posts 6th Straight Rise. Japan’s Economy Watchers sentiment index rose for a sixth consecutive month in October, prompting the government to upgrade its assessment from the previous month. The stronger data helped ease some Bank of Japan concerns that private consumption may lose momentum as households struggle with high living costs, though the survey does not directly measure consumption.
• MNI INTERVIEW: Fed's Risk Management Cuts Not Enough - Revelio. The U.S. labor market will continue to soften and the Federal Reserve's 50 basis points of interest rate easing so far this year will not be enough to shore up hiring, private data provider Revelio Labs’ chief economist Lisa Simon told MNI.
• Options : Close significant option expiries for NY cut, based on DTCC data: 152.00($668m). Upcoming Close Strikes : none - BBG.
• Data/Event : Money Stock M2, Machine Tool Orders  

Fig 1 : USD/JPY Spot Daily Chart

Source: MNI - Market News/Bloomberg Finance L.P