The Yen has a slight bid this morning, but one can’t say that the Yen is set to see definitive flow of safehaven support from the emerging markets situation today. However, the bulls might suggest that the Yen has uptrend channel support from the charts down at 97.17 today and it also has support from the 50 day movingaverage today at 96.96. Therefore the Yen will probably see some speculative buying off overt weakness in USequities, even though there doesn’t appear to be a full resurgence in safe haven interest off the emerging marketstheme. Pushed into the Yen, we leave the Yen with a bullish tilt, but we don’t have much confidence in the bullcase.
Technical Outlook: The market back below the 60-day moving average suggests the longertermtrend could be turning down. Momentum studies are trending higher but have entered overbought levels.The close above the 9-day moving average is a positive short-term indicator for trend. It is a slightly negativeindicator that the close was under the swing pivot. The next upside objective is 98.26. The next area of resistanceis around 97.79 and 98.26, while 1st support hits today at 97.03 and below there at 96.74.