Yesterday we looked at the GBP/JPY for a buying opportunity. Today let's look at the USD/JPY.
This may be the strongest trending move of all currency pairs right now. We see the pullback down to support and the reversal back to the upside has already taken place. A move up through the previous high would confirm the trend and represents a good place to buy. Protective stops should be placed below support with a target set at two times that risk. The USD appears to be the strongest currency right now with the JPY being the weakest. My only hesitation is this Friday's release of the Nonfarm Payrolls. That release can cause some volatility, so exiting before then might be a good idea unless you enjoy the ride.
