USD/JPY Declines Continue Post Shooting Star
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- USD/JPY Technical Strategy: Shooting Star favors shorts
- Recent consolidation results in Ascending Triangle formation
- Rising trend line and 102.00 likely to offer support
A Shooting Star candle formation on the four hour chart for USD/JPY has resulted in bearish reversal for the pair. The consolidation of prices between 102.70 and a rising trend line is suggesting USD/JPY may be heading for an imminent breakout. The resulting Ascending Triangle formation is generally considered a bullish continuation pattern, however with a downtrend having preceding it, the bias is obfuscated.
Further declines are likely to encounter buying support at the ascending trend line and the psychologically significant 102.00 mark.
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Four Hour Chart - Created Using FXCM Marketscope 2.0
--- Written by David de Ferranti, Market Analyst, FXCM
Contact and follow David on Twitter: @Davidde
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