The USD/JPY pair fell initially during the session on Thursday, but as you can see rallied enough to form a hammer. This hammer of course suggests that there is more buying to come, and a break of the top of it certainly would be another buying opportunity. However, we do recognize the fact that the market is a bit on the parabolic side, so pullback would be more than welcomed, and we would not hesitate to start buying at lower prices on signs of support, especially around the 101 level. Selling is not even a thought at this point.
Written by FX Empire