USD/JPY managed to regain some positive traction on Thursday amid fading safe-haven demand. Hopes of additional US fiscal stimulus remained supportive of the prevalent upbeat market mood. Investors now look forward to the US economic docket for some meaningful trading opportunities. The USD/JPY pair edged higher during the Asian session and recovered a part of the previous day’s modest losses, albeit lacked any strong follow-through beyond mid-105.00s. The global risk sentiment got a strong boost on the back of renewed hopes for the US fiscal stimulus. This was evident from a bullish trading sentiment around the equity markets, which undermined the Japanese yen’s safe-haven status and assisted the USD/JPY pair to regain some traction on Thursday. However, a softer tone surrounding the US dollar kept a lid on any further gains for the major. The US Treasury Secretary Steven Mnuchin told reporters that talks with House Speaker Nancy Pelosi made a lot of progress on long-awaited COVID-19 relief legislation. Meanwhile, Senate Majority Mitch McConnell said that the two sides remain far apart. The conflicting messages held investors from placing aggressive bullish bets, indicating that plenty of underlying caution still remains. Meanwhile, the downside for the greenback is likely to remain cushioned on the back of robust US macro data released on Wednesday. The ADP reported that private-sector employment grew by 749K in September as compared to market expectations of 650K. Adding to this, Chicago PMI surged to the highest level since the end of 2018 in September and reflected the resilience of the broader US economy. Market participants now look forward to Thursday’s US economic docket, featuring the releases of the final version of the September Manufacturing PMI, Initial Weekly Jobless Claims, core PCE Price Index and the ISM Manufacturing PMI. The data, along with developments over the next round of the US fiscal stimulus will influence the USD price dynamics and produce some meaningful trading opportunities. Barring any immediate reaction, the USD/JPY pair is more likely to remain confined in a range as investors might refrain from placing any aggressive bets ahead of Friday’s US monthly jobs report (NFP). Moreover, the recent price action constituted the formation of a rectangle, making it prudent to wait for a break in either direction before positioning for the next leg of a directional move. Technical levels to watch FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next USD/JPY still targets 103 due to negative real US rates – Credit Suisse FX Street 2 years USD/JPY managed to regain some positive traction on Thursday amid fading safe-haven demand. Hopes of additional US fiscal stimulus remained supportive of the prevalent upbeat market mood. Investors now look forward to the US economic docket for some meaningful trading opportunities. The USD/JPY pair edged higher during the Asian session and recovered a part of the previous day's modest losses, albeit lacked any strong follow-through beyond mid-105.00s. The global risk sentiment got a strong boost on the back of renewed hopes for the US fiscal stimulus. This was evident from a bullish trading sentiment around the equity markets, which undermined… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.