USD/JPY Intraday Recovery To Offer New Short Opportunities
- USD/JPY Technical Strategy: Shorts Preferred
- Prices break below 102.00 following Shooting Star pattern
- Hammer may suggest intraday recovery
USD/JPY remains below the psychologically-significant 102.00 handle with the absence of a bullish reversal signal on the daily making a bounce look unlikely at this stage. Further declines may be met by buying support at the 101.20 mark.
Daily Chart - Created Using FXCM Marketscope 2.0
While the daily presents a bearish context, the four hour chart suggests the potential for intraday recovery back to the 102.00 handle based on a Hammer formation. Given the lack of a bullish signal on the daily, a move back to resistance would be seen as an opportunity to enter new short positions.
USD/JPY: Hammer Suggests Intraday Recovery
Four Hour Chart - Created Using FXCM Marketscope 2.0
By David de Ferranti, Market Analyst, DailyFX
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