Talk of only a minimal improvement in this weekend’s Chinese PMI release, rekindled concern towardemerging markets again. The prospect of discouraging US data later this morning and generally weaker globalequity market action has probably sparked some safe haven buying of the Yen. However, low volume on theattempt to rally would seem to limit the upside potential. On the other hand, seeing the Fed leave the taperingthreat in place today despite the softening of US data, probably puts a little fuel on the emerging market situationagain, especially with Russia claiming that the ousted Ukrainian President is still technically the head of thecountry and Russia is expected to grant protection to the Pro-Russian ex president. Little in the way of resistanceis seen in the March Yen today until the 98.65 level.
Technical Outlook: Daily stochastics are trending lower but have declined into oversold territory.A negative signal for trend short-term was given on a close under the 9-bar moving average. The market’s closebelow the pivot swing number is a mildly negative setup. The next downside objective is 97.21. The next area ofresistance is around 97.93 and 98.18, while 1st support hits today at 97.45 and below there at 97.21.