The USD/JPY pair rose during the session on Monday, showing signs of support just below the 77 level. The candle from Friday was a hammer, and shows just how well supported this area could be for the pair. The Bank of Japan has been intervening in this pair over the last several months, and could be tempted to do it again if we drift lower from here. Because of that, we can’t sell, but the trend is firmly down – so we can’t buy at this point. We like buying much lower, around the 75 handle – a place where the BoJ might step in again.
Written by FX Empire