Photobombing the Market's Rally

With global Central Banks still one-upping each other, the Japanese Yen has been pummeled in recent months. Typically, the Yen trades inversely to global risk assets. And this Yen weakness has certainly been a tailwind for equity bulls. Nonetheless, the Yen is strong today, with the FXY ETF showing today's green action, below. Of course, you can see the steep downtrend, if not semi-crash, which has settled into a falling wedge chart pattern (light blue lines). If the Yen ETF pops up and out of this pattern, at least over $83.20 for example, I would expect pressure on equities to finally appear. In addition, you could always play the Yen as a snapback long on a standalone basis, regardless of correlations, with a stop-loss below $82. _____________________________________________