News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.



Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View more
Forex: Will the USDJPY Rally Continue and S&P 500 Breakout?

Forex: Will the USDJPY Rally Continue and S&P 500 Breakout?

John Kicklighter, Chief Strategist

Talking Points:

• We are heading into a seasonal period of lower activity created by a drop in liquidity

• For markets and currency pairs sensitive to risk trends, short-term opportunities are preferred

• A predilection for stimulus speculation can offer Yen crosses more trend than Dollar pairings

Sign up for John’s email distribution list, here.

There are a number of tempting technical setups in the markets - chief among them a tight S&P 500 wedge at record highs. The problem, though, is a risk-trend killing US holiday. While a breakout from risk-dependent benchmarks like US equity indexes, the US Dollar or AUDUSD amongst others is possible; follow through is far more difficult to determine over the next 48 hours. A market increasingly tuned into stimulus expectations can amplify certain headlines and currencies; but in general, the preference is for short-term trading through the coming session. We filter attractive technicals against objective fundamentals and market conditions for pairs like EURUSD and USDJPY in today's Trading Video.

Sign up for DailyFX-Plus to have access to Trading Q&A's, educational webinars, updated speculative positioning measures, technical setups and much more!

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.