USD/JPY Forecast Nov. 14th, 2011, Technical Analysis

The USD/JPY pair fell during the session as the Dollar got sold off against almost all currencies. The recent intervention in this pair has already been retraced by half, and we think that the unilateral nature of this latest intervention should make it vulnerable to the markets. The moves like this normally are doomed to fail sooner or later, but the closer we get to the bottom of the intervention candle – the higher the possibility of the Bank of Japan intervening again. As such, we feel this pair falls more, but the gains are going to be limited to about the 76 handle.

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