Chapter 23 Japan's Unemployment Rate
JPY: Japan’s Unemployment rate came unexpected at 2.6% from a 2.5% Forecast
Summary:
The Japanese economy showed some weakness versus the U.S Dollar after releasing Japan’s Unemployment rate data on 29-11-2022 at 1:30 AM (GMT +2) with an unexpected result of 2.6%. USDJPY increased from 138.80 to 139,38, but is this increase because of the unemployment rate?
1. Fundamentals
Japan released the Unemployment Rate report on November 29, 2022. The Unemployment rate is one of the major indicators that affect the market widely, it measures the percentage of the total workforce that is unemployed and actively seeking employment during the previous three months. A higher-than-expected data is bearish for the Yen, and lower-than-expected data is bullish for the Yen. The data came out to be 2.6% rather than the forecasted result of 2.5% which is supposedly bullish for the Yen. However, USDJPY increased widely after this indicator because of the bearish force for the JPY.
Gold increased sharply to touch the $1753 an Ounce level.
Major traders are holding their gold positions for further price increases.
2. Technical Analysis
Gold Daily Chart
The daily Gold pattern shows a bullish engulfing with possible prices touching the $1760 level.
Support and resistance:
1753.09
1750.91
1748.71
Pivot: 1755.29
1761.85
1759.67
1757.47
3. Trading Recommendations
High Probability Scenario:
Long Above: 1755
Resistance TP1: 1758
Resistance TP2: 1761
Alternative Scenario:
Short Below: 1751
Support TP1: 1748
Support TP2: 1746
