USD/JPY Recovers Ground As Hammer Hints At Intraday Bounce
- USD/JPY Technical Strategy: Sidelines Preferred
- Shooting Star pattern near 104.00 offered ominous warning
- Hammer on four hour chart hints at intraday bounce
USD/JPY has recovered some ground in recent trading, although sellers appear to be capping gains for the pair near the 101.70 mark. The daily chart may be set to post an Inside Day pattern, which could hint at more significant bounce. However, the current candle has yet to close and receive confirmation.
USD/JPY: Shooting Star Offered Ominous Warning
Daily Chart - Created Using FXCM Marketscope 2.0
Drilling down to examine intraday price action; the four hour chart reveals a Hammer formation that has received confirmation. Further gains in intraday trade are likely to once again be met by selling pressure at 102.00.
USD/JPY: Sellers Likely To Emerge At 102.00
Four Hour Chart - Created Using FXCM Marketscope 2.0
By David de Ferranti, Market Analyst, FXCM
Follow David on Twitter: @Davidde
To receive David’s analysis directly via email, please sign up here.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.