Uncertainty is spreading rapidly across global markets as traders and investors worry about a new credit crisis in Europe, says Saxo Bank's John Hardy.

According to Hardy, investors and traders are also concerned that action by the big central banks won’t work, making US Fed chair Janet Yellen’s testimony before the US congress on February 10-11 this week’s big event.

Hardy looks at how sentiment in the market is being impacted by all the uncertainty and shares his trading strategy for USDJPY, which has broken through a key level.