Close correlation – How can you know unless you are told?
If you are trading the USDJPY pair you will want to have a US10 year yield overlay on your chart. Why? Because the pair tracks the US 10 year yield vey closely.
So, the recent break of 1.60 on the US10 year is opening up a retest of 1.800 ish. This means that USDJPY could have a 130+ point run up higher this week towards 114. All of this on Fed taper hopes for November + inflation fears forcing central banker’s hands.