TechnoMeter

Talking Points

• Strategy: Long, Stop: 114.60 (Close), Target: 115.90
• Absence Of Bearish Signals Opens Further Gains
• Watching H4 Chart For Signs Of Bulls’ Exhaustion

USD/JPY has continued its journey higher with a void of reversal signals opening the prospect of a run on 115.90 (the Nov ’07 high). A pullback below former resistance-turned-support at 114.60 would be required to warn of a correction for the pair.

Absence Of Bearish Signals Casts Risks Higher



The four hour chart should be closely monitored for early warning signs that the bulls may be losing steam. A Doji formation near 115.46 suggests indecision, but alone does not offer a warning of a reversal.

Watching For Early Hints At A Reversal



By David de Ferranti, Currency Analyst, DailyFX


More...