USD/JPY Update

The USD/JPY is now showing signs of deterioration which effects ES directly as the correlation there has been tight again for the last week or so.

Here's what we have...

 ES (S&P E mini Futures) got a bump that was above the USD/JPY correlation as the carry pair has been lateral since about 11:15, here's why...

 USD/JPY 3C 1 min leading negative divegrence is now significantly lower than this chart, in fact...

Just to show you how fast it is deteriorating, there's about 4 minutes between these 2 captures.

The more important 5 min chart is already in leading negative position and with the 1 min chart acting as it is, I wouldn't be surprised to see this one start to deteriorate more.

As a result...

All of the major averages that looked to run stops and limits above a well defined range from this morning are now all range bound as their upward momentum has stopped.

We'll see how much more damage the USD/JPY sees, but it looks like things are all falling in to place as a sell the news event.