USD/JPY is poised for a big break. USD/JPY finished last week strong with a 75 pip rally in the final six hours of trading. But it's given back 15 pips of that in early trading in tentative sign that it remains in the range it's carved out over the past month. At the moment, this is a great example of a classic formation. Oftentimes after a quick, large move there is a period of consolidation. It often takes the form of a 'wedge' or triangle as the range narrows. Inevitably it breaks. The culprit is often confirmation (or rejection) of whatever led the chart to jump or drop in the first place. In general it continues ... (full story)