USD/JPY forecast for the week of October 3, 2016, Technical Analysis

The USD/JPY pair initially fell during the course of the week but found enough support at the 100 level to bounce and form a hammer. I believe that the 100 level continues to be supported by the Bank of Japan, and given enough time I think we will see the market turned around completely. However, I think it’s very difficult to deal with this potential trend changing opportunity on a longer-term chart. Short-term charts are probably best used to find a bounces that you can take advantage of.