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Forex: USD/JPY dives further as market digests events

Previously held by the opening price at 93.64, the USD/JPY is now facing the area as resistance after the fall to 93.38 low. As of writing, the pair is moving below 93.38 and aprroaches 93.00 mark as the market digests everything that has happened today, from incoming BoE Governor Carney to ECB's Draghi press conference, and US nonfarm productity and jobless claims. The pair is currently at Tuesday's high, 93.18.

The preliminary US nonfarm productivity in Q4 shows a -2.0% fall, worse than the -1.3% expected. However, Q3 data was revised higher from +2.9% to 3.2%. Unit labor costs grew from -2.3% (revised from -1.9%) to +4.5%, more than the +3.0% expected.

Initial jobless claims in the US fell from 371K (revised from 368K) to 366K, more than the 360K consensus. Continuing claims rose from 3.216M (revised from 3.197M) to 3.224M.

"The USD/JPY currency pair continues moving upwards. I think today the price may consolidate for a while at the current levels and then continue growing up towards the target at 94.65", wrote Roboforex.com analyst Igor Sayadov.

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