Critical support at 97.46 remains in place and has become more credible with the prior 4 sessionsrespecting that level on the charts. Expectations for an upbeat tankan survey ahead was seen in the pressovernight, but for the Yen to fall all the way back down to the 95.00 level probably requires a noted improvementin overall global economic expectations, not just an improvement in the Japanese economic view.
Technical Outlook: The close below the 40-day moving average is an indication the longer-termtrend has turned down. Stochastics trending lower at midrange will tend to reinforce a move lower especially ifsupport levels are taken out. The market’s close below the 9-day moving average is an indication the short-termtrend remains negative. The market’s close below the pivot swing number is a mildly negative setup. The nextdownside objective is 97.29. The next area of resistance is around 98.10 and 98.28, while 1st support hits todayat 97.61 and below there at 97.29.