As expected, the Yen has slipped downward on the charts as the safe haven impetus has waned andcurrency players move toward the Swiss and Pound, which seem to offer stronger economic potentials. However,the declines in the Yen might be limited, until the global macro economic improvement is secured by a long stringof global equity market gains. In the near term, downside targeting in the March Yen is seen at 97.17 and thenagain down at 96.72.
Technical Outlook: Stochastics trending lower at midrange will tend to reinforce a move lowerespecially if support levels are taken out. The market’s close below the 9-day moving average is an indication theshort-term trend remains negative. The market’s close below the 1st swing support number suggests amoderately negative setup for today. The next downside target is 96.98. The next area of resistance is around97.76 and 98.17, while 1st support hits today at 97.17 and below there at 96.98.