USDJPY

[phillo]

Watching for potential channel break

[Mercury]

Agree and I feel it is likely to break back into a final rally leg to match stocks and Oil until the tops on the latter 2.

[Mercury]

USDJPY breaking out of a potential ending Triangle to a retrace move, prompting a rally up in support of indices rally.

[Mercury]

Yen fly in the Stocks ointment.  Looks like this pair is set for at least a retrace, which could spell another leg down or support retest for stocks...

 

[Mercury]

USDJPY seems to be intent of retracing at the moment.  Downward pressure on stocks today?

[Mercury]

EUR and GBP vs USD appear to be going to projection just now but next week will be crucial I feel to deciding it.  Regarding the Yen, I am not trading it right now but am using it as a correlation market with Stocks, I am seeing USDJPY moving largely in sync with stocks (not an exact match of course and different strengths but directional decent for now - don't expect that to last long term though).

In line with my short term projection for stocks I see USDJPY also retracing.  This market is trading in either a rally Channel or Triangle formation for price action on the Daily Chart, both are valid for now.  I could see a retrace back to the 4 Hourly chart recent down-sloping Triangle (Pennant?) breakout OR back to the support Daily chart lines and then rallying.  This would align to a Stocks move of a similar nature.  If this market does breakout into a rally though it could signal similar on stocks and Nikkei would be the one to assess as regards this overnight tonight.  All very ST right now so prone to go either way so staying on the sidelines to watch this one and stocks simultaneously.