USD/JPY 4-hour & Daily View [last 120.79]: No follow-through…

1 February 2016/10:05 p.m. ET

A series of a-b-c wave sequences…after the sharp rally on Friday, on news of the BOJ deciding to move to negative interest rates on new QE, there was no follow-through today in USD/JPY.   We have been seeing a series of a-b-c waves; Friday’s rally extended to a key level—maybe Mr. Market going to wrong-foot the crowd here?  Is the move by the BOJ more really matter?  Daily momentum is fading and there was divergence on the 4-hour chart as prices rallied into the near-term high; often an indication of at least a near-term correction lower…if we get stopped into this trade I will look to reduce risk asap…risk reward is quiet good if Mr. Market was head faking…

USD/JPY Daily: Three –wave moves…latest rally is in three waves with oscillator moving into “overbought” territory.  

Jack Crooks  Black Swan Capital

Jack Crooks

Black Swan Capital