USD/JPY Loses Steam Near 2014 High As Shooting Star Takes Shape
- USD/JPY Technical Strategy: Pending Long
- Shooting Star Awaiting Confirmation Near 2014 Highs
- Doji on H4 Highlighted Hesitation Amongst Traders
USD/JPY’s recent rocket higher is at risk of losing fuel as a Shooting Star begins to take shape on the daily. If confirmed by the close of the current candle and a successive down period the bearish candlestick may be the precursor to a further correction. However, against the backdrop of a short-term uptrend buying dips would be preferred.
USD/JPY: Shooting Star Takes Shape Following Failure To Crack 105.40
Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here
The four hour chart offered an early indication that USD/JPY’s upside momentum was fading. A Doji formation near 105.28 signaled hesitation from the bulls. Yet classic reversal signals appear lacking at this stage. A continued retreat is likely to find buying interest renewed near intraday support at 104.42.
USD/JPY: Doji Highlighted Hesitation Near 105.28 Barrier
Four Hour Chart - Created Using FXCM Marketscope 2.0,Volume Indicator Available Here
By David de Ferranti, Currency Analyst, DailyFX
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