Forex: USD/JPY hits fresh high after ADP report

The dollar moved slightly higher versus the yen and reached a marginal new high for the day after the ADP report showed US private sector added more jobs than expected in February, reaching its highest in a year at 198K.

USD/JPY rose to a 2-day high of 93.62 after the data and continues to trade near that level, where it records a 0.3% daily gain. However, the pair has lacked momentum to break above the 93.70/75 area, which has capped the upside this week.

If USD/JPY breaks above 93.70, next resistances could be found at 94.00 (psychological level) and 94.52 (Feb 25 high). On the other hand, supports are now seen at 93.00 (psychological level), 92.90 (Mar 5 low) and 92.40 (Mar 1 low).