Good morning traders,
Yesterday we saw USD/JPY approach the top of its range, gap up, and then spend the rest of the day dropping.
A beautiful gap fill if you were looking to short rallies in the pair as we spoke about in yesterday’s blog. Just take a look at the intraday chart here:
The gap fill is pretty self explanatory, but look at the way that price has retested the gap fill line and continued lower. There’s definitely a bit of bearish momentum to start the week and when you see these little pullbacks into previous short term support being sold, you know there’s often more to come.
Best of probabilities to you!
Dane Williams – Vantage FX
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Source: Vantage FX Blog