The USD/JPY pair broke down significantly during the course of the session on Tuesday, showing real resistance at the 124 level. With this, it appears that the market is going to go lower, searching for support. We believe that there is a massive amount of support at the 123 level, and as a result we are buyers on a supportive candle that forms. We believe that the market continues to go higher, but we may need to pull back a little bit to find “value” in the US dollar before we break out above the 125 handle. We are buyers only.
