Despite residual economic fears toward China and uncertainty from the Ukraine situation, the Yen hascontinued to erode on its charts. Seeing the BOJ leave stimulus measures in place and raising their outlook forindustrial output should leave the Yen poised for a drift toward the early January lows. With the BOJ overnightsuggesting that risks to the global economy were not on the rise, it isn’t surprising to see the Yen continue to leaklower on its charts. Next downside targeting in the Yen is seen down at 96.37.
Technical Outlook: The downside crossover (9 below 18) of the moving averages suggests adeveloping short-term downtrend. Momentum studies are still bearish but are now at oversold levels and will tendto support reversal action if it occurs. The market’s short-term trend is negative as the close remains below the 9-day moving average. The market has a slightly positive tilt with the close over the swing pivot. The next downsideobjective is now at 96.46. The next area of resistance is around 97.05 and 97.31, while 1st support hits today at96.63 and below there at 96.46.