The dollar picked a funny time to break out

If it were any other time of year, the technical breakouts in EUR/USD and USD/JPY today would be screaming buy-signals for the US dollar.

But it's the end of the year. The FOMC decision yesterday was the last major event on the economic calendar for 2016 and that leaves the market in a strange place. As good as it looks, it's tough to make a long-term trade 15 days before Auld Lang Syne.

That doesn't mean it's not a good time to buy it, but checking for updates every 30 minutes over the holidays isn't the best way to get ready for 2017.

So there's a conundrum. It's like a juicy steak in your fridge that you want to cook but don't have the time. If you wait too long, it will go bad. The solution might be to fry up half of it now and put the rest in the freezer. Sure, it might not be quite as good, but at least there will be time to cook it right.

And the US dollar looks like one heck of a steak. The euro, today, is breaking the 2015 double bottom and at the lowest level since 2002. There is nothing between it and parity.

USD/JPY took out the 61.8% retracement of the 2015/16 fall.

And it all comes with the fundamental backing of the Fed and an explosion higher in bond yields.