Bullish signs abound in the stock market.

The skittishness at the start of the week came on China but word that Zhou could be replaced by someone more likely to stimulate the economy is a good sign for risk trades.

Dovish comments from the Fed add a bit of fuel as well.

SP 500 daily chart

S&P 500 daily chart

Technically the bullish engulfing candle and the ability to hold the Sept low are also good signals.

The better sentiment in stocks briefly pulled USD/JPY back above 1.09.