The USD/JPY pair broke down pretty significantly during the course of the week, making the previous hammer a so-called “hanging man.” This of course is a
The USD/JPY pair broke down pretty significantly during the course of the week, making the previous hammer a so-called “hanging man.” This of course is a very bearish sign, but at the end of the day we do not look at this is a selling opportunity. Quite the opposite to be honest, as we see the 105 level as the “floor” in this market. We are looking for some type of support, and the fact that we have not pullback after the recent break out above the aforementioned 105 level suggests that we need this pullback in order to pick up enough momentum to go long and start heading above the 110 level again.
Being FXEmpire’s analyst since the early days of the website, Chris has over 20 years of experience across various markets and assets – currencies, indices, and commodities. He is a proprietary trader as well trading institutional accounts.