The USD/JPY pair fell during the Tuesday session as the recent surge ran into the 78.50 resistance area. The pair is undoubtedly in a downtrend, and this looks to remain the case until we can get over the 80 level. In fact, we aren’t buying at all until we get over that level. The pair falls every time it rallies, and as a result – we like fading these rallies at this point. The breaking of the lows on Tuesday sends this pair lower. We don’t buy at this point as it would be chasing the trade.
Written by FX Empire