Talking Points

  • USD/JPY Technical Strategy: Shorts preferred
  • Shooting Star on the daily plays out
  • Buyers may arrest declines at 101.40

The Shooting Star formation noted in recent reports has resulted in continued declines for USD/JPY. While a bearish bias is retained, further falls may be limited given strong buying support near the 101.40 mark. A break below there would afford new short entries would open up the 2014 low near 100.70.

USD/JPY: Shooting Star Plays Out

Forex_Strategy_-_USDJPY_Slide_Continues_Post_Shooting_Star_Candle_body_Picture_2.png, Forex Strategy - USD/JPY Slide Continues Post Shooting Star Candle

Daily Chart - Created Using FXCM Marketscope 2.0

USD/JPY: Clouds Gather Near 103.75

Forex_Strategy_-_USDJPY_Slide_Continues_Post_Shooting_Star_Candle_body_Picture_1.png, Forex Strategy - USD/JPY Slide Continues Post Shooting Star Candle

Four Hour Chart - Created Using FXCM Marketscope 2.0

By David de Ferranti, Market Analyst, FXCM

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