With the financial markets closed in both the UK and USA today, Forex traders will be able to reflect on last week’s trade flow and prepare for key economic data points later in the week. The USD remained firm versus the all the G-7 currencies last week except the JPY. After posting a 4-month high just under 111.50, the pair ended its recent rally near 109.00 and registered a “key reversal” on the weekly charts. As mentioned in Friday’s FX UPDATE, this strength in the JPY (weakness in the USD) usually precedes broader equity market volatility and could push USD/JPY back into the 108 handle this week. On the other ... (full story)