This is a reversal of the price action on the previous hour, in which price moved up.
This is the 2nd hour in a row usdjpy has seen its price head up.
Gbpusd technical analysis**: trend : 0 trend power: 1 overbought/oversold : absent preferable trade direction : sellsell near 1,2990 with a stop loss above 1,3040 and a take profit near 1,2860….
Given that we see an uptrend on the 20 hourly candle timeframe, and that such candlestick patterns often denote reversals, this may be worth noting.
This imputes a buy/sell ratio of 0.47, which is bearish.
Price action traders in particular will want to note that the 14 day period appears to show price forming a base; this could indicate that a support/resistance level is developing.
As for the rationale, technical traders seem to be citing the appearance of a stochastic technical pattern.
It’s been a feast for bears operating on an hourly timeframe, as usdjpy has now gone down 8 of the past 10 hours.
Regarding the trend, note that the strongest trend exists on the 20 hour timeframe.
If you’re a trend trader, consider that the strongest clear trend on the hourly chart exists on the 20 hour timeframe.