NFP (Non-Farm Payroll) effect on USD JPY

November 8th, 2009 – The NFP (Non-Farm Payroll) is out and unemployment has reached the 10.2% mark. USD JPY declined approx. -113 pips (from 90.73 to 89.60) then proceeded to climb back up to 89.98. I expected the decline to be greater if unemployment was going to reach the psychological point of 10%. The USD dollar is holding pretty strong to the Yen due to the fact that most forex traders expected a greater decline (below 89.00 level) and some news source are indicating that the Japanese Government would like to see the Yen decrease in value. The two current major resistance for a day trader are 91.30 (upside) and 89.18 (downside). I would like to see what next week has at stake for us before going long or short.