The USD/JPY pair initially rallied during the course of the day on Wednesday but found enough resistance above to give up about half of the gains. Nonetheless, I believe it’s only a matter of time before we continue to grind higher, so I think short-term traders will continue to be buyers. The Bank of Japan is sitting below and willing to act if they have to, so at this point in time I don’t really think there is much else you can do but buying for short-term gains. At this point, I have a target of 108.
