Watch the yen crosses as we're now trading the BOJ too

Some of the signals the prices may be giving us could be false

USDJPY only gained around 60 points on the Fed making Dec the real crunch time for hikes. The interest rate divergence is playing out in EURUSD and GBPUSD (among other USD pairs) but the yen crosses could be holding back USDJPY

EURUSD has lost around 120 pips to 1.0927and cable around 80. EURJPY has fallen nearly 150 to just above 132.00. GBPJPY joined in but has bounced right back

The BOJ was looking the bigger deal this week but it would be dangerous to think that any rally in USDJPY is finished. On the flip side we may still see further downside from no action from the BOJ. That might be the dip to get on USD longs for the Dec FOMC

For EURUSD the move is good on pure interest rate differentials. The lay of the land is pretty clear, Fed's a-hikin, ECB's a-easing

For GBPUSD there's another warning as the pound may recover if the market thinks that if the Fed has the guts to hike, the BOE may do too. I wouldn't think about chasing shorts lower from here

If you're unsure about what's going on then stay out until things clear up or we hit some decent tech levels to lean on