USD JPY Poised to Challenge 95.38

The weakness in the equity markets has triggered a strong rally in theUSD JPY.  Currently this currency pair is in a position to breakoutabove the previous main top at 95.38.

Intra-Day Analysis

USD JPY

The weakness in the equity markets has triggered a strong rally in the USD JPY.  Currently this currency pair is in a position to breakout above the previous main top at 95.38.

The 60-minute chart established its first bottom at 94.00 in the pre-market.  At about the New York midsession a new higher bottom was formed at 94.60.  The drive through the last main top at 95.12 indicates that this currency pair may take a run at 95.38 before the end of the day.  A break through 94.60 will put downside pressure on this market.

The chart pattern is set-up for an upside breakout but everything depends on what the equity markets do