The USD/JPY pair had a strong showing during the session as rumors came out that the Bank of Japan was going to announce stronger than expected asset purchases, perhaps as early as today. Whether or not there is any validity to this is still up for debate, but without a doubt it is with the overall trend anyway. Because of this, we still like buying this pair, and will do on short term pullbacks as we believe in the longer-term validity of the uptrend. We think that the 96 handle will attract a certain amount of buying, but eventually we will see 100 and sometime over the next couple of months.
Written by FX Empire