The USD/JPY pair went sideways during most of the session on Friday, but did dip below the 110 level during the Johnson announcement. Ultimately, this market looks as if it is attracted to the 110 level, so I think that the market will tend to bounce around in this area. I’m waiting for some type of impulsive candle to start trading this market with some certainty. This market is highly sensitive to risk appetite, so it will typically follow stock markets and of course interest rate expectations between the United States and Japan.
Written by FX Empire