Perhaps the Only Charts That Matter

Last week we saw the divergences that made it clear the psychological level of $102 in the USD/JPY would be hit, all of the stories as to why the market did what it did can now be looked back on as just that, quick 30 second sound-bites to explain the market so people feel better, but none were right, the charts didn't lie though.

Soon after $102 was taken out, those same charts that forecasted the move up in USD/JPY and thus the market, flipped and went negative, forecasting the fall of the FX carry pair and the market with it.

Here's what we have, right now it's not so much the Yen, but the $USD.

 USD/JPY 5 min up through $102 and the recent price movement has not been very constructive for the pair. A break back below $102 and we should be in a very different environment, especially if the pair fell quickly and couldn't hold $102 for very long.

Intraday Yen 1 min positive

5 min Yen positive

15 min Yen positive

USD

 intraday 1 min leading negative $USD.

 5 min leading negative

15 min

30 min and what I suspected might be the key to timing a reversal, the $USD 60 min which was very positive up until today....

60 min $USD.

It does look like something is moving and really it hasn't been very much time, this is why I was so interested in whether the negative divgerences that started migrating to a stronger negative would continue today, they have, albeit at a slower pace.