The USD/JPY pair fell during the session on Thursday, breaking below the 115-support barrier. While that is a very negative sign, the reality is that I see a massive amount of support at various levels all the way down to at least the 111.50 handle. Because of this, I’m waiting to see a supportive candle on the daily chart to start buying again. I have no interest in shorting, and I believe that given enough time traders will look at this as value in a market that has been extraordinarily strong until the last couple of weeks. This pullback is natural, and should only attract more traders to go into the market for the longer-term move that is undoubtedly coming.
This chart form 1982/11/01 with trend recording shows breaking barrier to bullish territory with price above ichimoku cloud.