USD/JPY Technical Analysis October 7, 2011

USD/JPY continued its back and forth trading between the 76 and 77.50 areas on Thursday. The pair is stuck in this range, and has been very good to scalpers who have absolutely cleaned up in this tight market. Looking ahead, the Bank of Japan will undoubtedly buy this pair if it falls too fast, but the pressure to the downside is significant. Because of this, we continue to buy close to the 76 handle, and take our profit after 40 -50 pips.

Written by FX Empire