USD/JPY falls into the buy-zone again
Since the BOJ decision, I’ve advocated for buying 150-pip dips in USD/JPY. The 164-pip dip today is the second-largest retracement since the Oct 31 surprise and re-opens the window.
USDJPY retracements since BOJ decision
The danger in buying this time is that medium and long-term indications are overbought with the weekly and monthly RSIs above 80.
But it’s a strategy that’s worked so far. A stop in the 120.20/119.95 zone limits the risk.
