The USD/JPY pair initially fell during the day on Wednesday, but found enough support near the 119.70 level to turn things back around and form a hammer. With this, it looks like the markets ready to go higher, and if we can break above the highs from the Tuesday session, we believe this market would then head to the 122 level. We believe that pullbacks will be supported going forward anyway, so therefore we are bullish in general. We believe that the US dollar continues to strengthen based upon the fact that so many other currencies are so soft.
