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.



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
Oil - US Crude
Wall Street
More View more
Real Time News
  • *Reminder: Weekly Strategy Webinar tomorrow morning at 8:30am EDT on DailyFX!
  • EUR/USD fell sharply last week and there are few signs yet that the selling is over. However, a bounce is likely before the decline resumes. Get your #currencies update from @MartinSEssex here:
  • The week ahead has many systemic issues that take control of the markets, but scheduled data is heavily skewed to the Dollar. Here is my video for the week ahead:
  • GBP turbulence persists as investors eye the next round of EU-UK Brexit negotiations. Cautious optimism signals a deal is near. Get your #currencies update from @PaulRobinsonFX here:
  • The AB=CD pattern is simple once you know how to spot it and draw the proper Fibonacci retracements. Make your trading strategy as simple as ABCD here:
  • BoE’s Tenreyro says evidence on negative rates are “encouraging” Meanwhile, STOXX Europe Banks Index resides at all time lows
  • What is the outlook for financial markets ahead of the first presidential debate and how are Democratic nominee Joe Biden and President Donald Trump doing in the polls? Find out from @ZabelinDimitri here:
  • Anti-fiat #gold prices suffered the worst week since August as the US Dollar gained ground. Will losses extend? All eyes turn to fiscal stimulus hopes and non-farm payrolls data. Get your #metals update from @ddubrovskyFX here:
  • The US Dollar could gain as it forms bullish technical formations against the Singapore Dollar and Malaysian Ringgit. USD/PHP may have bottomed, will USD/IDR rise next? Find out from @ddubrovskyFX here:
  • What is seasonal change in volatility. Are we going through one right now? Find out:
Using USDJPY to Differentiate Between Weak, Moderate and Strong Breaks

Using USDJPY to Differentiate Between Weak, Moderate and Strong Breaks

2015-10-15 01:07:00
John Kicklighter, Chief Strategist

Talking Points:

• Technical breaks are common events in markets, but the ultimate impact they have is anything but consistent

• There are weak (tech only), moderate (strong tech or some funda) and strong (both tech and funda) breaks

• We discuss these different intensities with USDJPY and the S&P 500 to gauge potential of follow through

Find help with your trades and trading strategy from DailyFX analysts with DailyFX on Demand.

Not all breakouts are created equal. Trendlines, range boundaries and wedges are eventually broken; but the follow through isn't consistent with each. There are arguably more failed breakout (stalled or reversed) situations than there those that evolve into strong trends. How can we differentiate the 'strength' of the breakout? We can loosely separate breaks into three categories: weak, moderate and strong. The stronger the signal, the better the follow through potential. What decides strong or weak is both the level of the technical move and the fundamentals that may contribute or work against the price move. We discuss this evaluation using the recent USDJPY wedge break in today's Strategy Video.

Using USDJPY to Differentiate Between Weak, Moderate and Strong Breaks

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

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