- USD/JPY Technical Strategy: Sidelines Preferred
- Piercing Line may find limited follow-through
- Range between 101.20 and 102.77 remains in play
USD/JPY has kept traders in suspense as the pair teases at a run above the 102.00 handle post a Piercing Line pattern on the daily. However, with confirmation from an ensuing up-day absent and the pair drifting sideways on the daily, conviction amongst the bulls still appears to be lacking.
USD/JPY: Piercing Line Pattern Finds Little Follow-Through
Daily Chart - Created Using FXCM Marketscope 2.0
Similarly, a Piercing Line pattern also present on the four hour chart has been met with little fanfare by traders. Clearance of 102.10 is likely needed before suggesting a push back to the range-top near 102.75.
USD/JPY: Recovery Post Piercing Line Limited By Nearby Resistance
Four Hour Chart - Created Using FXCM Marketscope 2.0
By David de Ferranti, Currency Analyst, DailyFX
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