The technicians spent the year watching to see which direction the ?Japanese Trade? would resolve itself toward after a blow off top in the spring followed by six months of consolidation.

For the uninitiated, the Japanese Trade is short Yen, long Nikkei, based on the alignment of the Japanese political establishment and the BoJ in the urgent need for cyclical growth.

It looks like this week we may have gotten the answer as to how that consolidation is resolving ? and it?s to the upside. Full disclosure, we?ve been long this trade all year and have added to it in Q3.