ECB fighting deflation, will stimulate until the desired effects are noticed, devaluing the Euro as much as necessary. However, BOJ knows well what adverse effects this can have on their currency strengthening, and they have not said they would act to stimulate and ease further, but this is war and all is fair in love and it. Until BOJ acts, I see this pair going red arrow or at the least following the downtrend in the channel. Which means for US equities, they will follow this pair action for now.