Good Morning,

I hope you all had a great weekend.

Nothing that much to talk about to-day except the JPY and the two CAD trades from last week.

<span style="text-decoration: underline;"><strong>JPY:</strong></span>

The JPY is strong at the moment and it could breakdown. Here is my thinking; the last time that JPY took control when the Forex market was in stagnation mode, like it is now (we are range bound and in tighter ranges than usual), the USD sold off in mega proportions. The AUD/USD, NZD/USD, EUR/USD &amp; GBP/USD all rose to highs before eventually pulling back. The USD/CHF and USD/CAD dropped like lead balloons.

If this happens to-day as the USD is in a far more precarious position than last time the USD sell off could be much more and we could be seeing a new step lower.

I will focus on the USD/JPY but the same principle will apple across the JPY cross-rates pairs, just be careful of the cross-rate JPY pairs as they will influence the opposite USD major and they can be spiky!!

Key support in the USD/JPY is at 101.50. It it breaks through this level it could be quite a breakdown. The big risk with the cross-rate pairs is if the USD/JPY breaks 101.50.

<span style="text-decoration: underline;"><strong>CAD:</strong></span>

The two trades could be very interesting if we see the USD/JPY break down. To be Conservative, maybe just take one trade. If I decide to set-up one of these I will tweet.

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It really is all eyes on the JPY.
DOW FUTURES are coming under pressure now as well. 16,300 could be the target.
NASDAQ is rolling over as well.
E MINI futures is sitting on support.
GOLD is strong, we could re-test $1,330.
Copper is doing nothing.
Oil is struggling with $100.00.
The 6J is holding for now, but it looks to be pushing lower, this will let us know how the JPY will perform.

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Scott