The USD/JPY pair initially fell during the course of the session on Monday, but found enough or below in order to bounce and go higher. The resulting hammer does suggests that the markets get ready to go higher, but the 103 level above should continue to be resistive. With that, a break above the 103 level is in fact a strong sign, as the market should go higher at that point. On the other hand, if we break down from here we believe that the 102 level will be supportive, and certainly believe that the 101 level will be as it is the bottom of the large timeframe consolidation area.
