The USD/JPY pair fell initially during the session on Thursday, but as you can see continue the bullish action lately day as we bounce to form a hammer. The hammer suggest that the market is in fact heading to the 105 level in the short-term, something that we would not be surprised to see happen today. 105 of course will be resistive based upon the row number, but ultimately should give way so that we had to the 110 level. We believe that the Bank of Japan will continue to try to the value the Yen in order to help the export markets, thereby making is a one-way trade of sorts.
Written by FX Empire