USD/JPY, 'fear factor' covered!
The pair slided on Wednesday for 200 pips in fear of the stock markets crush and reached an important suport level at 120.40/60, which I pointed in my analysis from July 08. The buyers were ready there and took over the control, after wich they have pushed the pair back to the beggining, only two days latter. Here we are, 100% of loss is covered, but it looks like the US dollar bulls would like some more pips. 122.60/70 is the next minor resistance, after wich follows strong resistance at 122.80/123.00. You can see at my chart how the pair climbed over the fibo steps. Whether perhaps the BOJ intervened after a strong strengthening of the Japanese yen? Maybe, but I showed at my previous USD/JPY technical analysis that, 120.40/60 is the level wich could stop the fall and rebound the pair back up. It did, great move.