Some setups lead us to believe that there is a possible short opportunity on June 2016 Japanese Yen Futures
or, if you prefere, a long opportunity on USD/JPY
Looking at the daily chart, we can see that the price is testing the latest top, facing a resistance level
. The February 11 candle, according to the Volume Spread Analysis
, can be defined as pseudo upthrust
; that of February 24, which is a shooting star candle
, can be considered an upthrust
; yesterday ended with a buying climax
, that could be the warning sign of a bearish reversal pattern.
Commitment of Traders
If we look at the COT Index
, the strong commercials bearish stance could confirm our guess.
In addition to these remarks we must consider that, usually, when the price reaches this level, the Central Bank of Japan
tends to moderate Yen's price.
Of course, if you are a forex trader
, you can read this signal in the opposite direction for USD/JPY
, with the prospect of a rebound
Remember: this is not a trade solicitation and, if you decide to trade, you do it at your own responsibility.