USD/JPY Forecast October 6, 2014, Technical Analysis

The USD/JPY pair broke higher during the course of the session on Friday, breaking the top of the hammer, heading into the 110 level. The 110 level above of course is massively resistive, and as a result the market needs to close above that level on a daily timeframe in order for us to start buying, which would send the market heading back towards the 115 level, and continue to offer “buy on the dips” type of opportunities. Any pullback from here should offer buying opportunities as well, as the 105 level is the “floor” in this market.