USD/JPY hesitates at 144.00 with markets awaiting US data

• The US Dollar loses momentum as the enthusiasm following US Job Openings fades.
• Investors are looking at the US ADP and Services PMI data for further guidance
• A bullish engulfing candle on the daily chart suggests a potential trend shift.

The US Dollar's recovery from Monday's lows has lost steam during Wednesday's European trading session. The USD/JPY 4-hour chart shows doji candles at the 144.00 level, highlighting an indecisive market.

The Dollar performed a significant rebound on Tuesday, fuelled by a positive surprise on US JOLTS Job Openings, which rose by 7.39 million in April, beating expectations of a more modest 7.1 million increment.

These figures offset the sharper-than-expected decline in Factory Orders, which follows the downbeat Manufacturing activity report seen on Monday, and add to the evidence of the negative impact of Trump's tariffs on the manufacturing sector.

Market optimism, however, has eased, with investors growing cautious ahead of the US ADP Employment report, which is expected to show a significant increase in payrolls in May, and the ISM Services PMI, which is also expected to have improved in May.

Technical Analysis: A Bullish engulfing candle suggests a trend shift

A look at the daily chart and we observe a bullish engulfing candle on Tuesday, which is often a signal anticipating a trend change. The pair, however, should break above the 144.40 resistance area to confirm that view, and extend gains towards 146.25.

On the downside, immediate support is at 143.65, followed by 142.40.