Before today's (2/5) Non-Farm Payroll report, the market was selling USD sharply. This showed that the market was anticipating bad jobs data, which would keep the FOMC dovish, which translates to a weaker USD. NFP Jan: 151K, Forecast 189K, Previous: 292KUnemployment: 4.9%, Forecast: 5.0%, Previous: 5.0%Now, the NFP did come out weaker than expected. But in the 15 minutes following the report, it looks like USD-bears struggled to extend. There was some volatility but the USD-bears capitulated to buyers. Let's take a quick look at USD/JPY and USD/CAD. USD/JPY 1H Chart 2/5 (click to enlarge) Here's the narrative: USD/JPY was bearish ahead of the NFP. This could be seen as pricing in of a negative surprise relative to the average forecast. We saw USD/JPY stall as the NFP event was near. After the confirmation of disappointing data, USD/JPY whipped back and forth and started to settle north. This suggests that the bad data might already have been priced in. Still, USD/JPY will have to break that resistance pivot around 118.25 before a bullish outlook can be considered. For now, we can consider some pullback towards 118. USD/CAD 1H Chart 2/5(click to enlarge) The USD/CAD was falling ahead of the NFP, both because of traders pricing in bad data, but also as oil prices stabilized a bit around 30. The decline stalled just ahead of the NFP, and traders are buying USD/CAD after the jobs data. If price clears 1.30, there is a chance to check a previous support pivot just above 1.39 as resistance. There is also a possible falling trendline just above 1.39. Even if price does extend beyond the trendline and 1.39, we should probably first limit the bullish outlook to the 1.40 handle until further signs that USD/CAD has turned bullish. We should note that Canada also had poor jobs data. CAN Employment Change: -5.7K, forecast: 5.2K, previous 22.8KUnemployment Rate: 7.2%, forecast, 7.1%, previous, 7.1% Poor CAN data suggests to me that USD/CAD should be bullish in the short-term. However, if oil starts to rally, it would be difficult for USD/CAD to climb to 1.40.