A range down washout in the Yen is partly the result of acceptable Chinese and Japanese economic databut also because of suggestions from the BOJ that capital expenditures are starting to rise and that their policymoves are starting to show signs of benefiting the Japanese economy. We can’t rule out a near term slide in theJune Yen down to the 97.13. Remain bearish toward the Yen as long as it remains below the 97.94 level.
Technical Outlook: Momentum studies are trending higher but have entered overbought levels.A positive signal for trend short-term was given on a close over the 9-bar moving average. The market’s closebelow the pivot swing number is a mildly negative setup. The next upside objective is 98.74. The next area ofresistance is around 98.45 and 98.74, while 1st support hits today at 97.97 and below there at 97.79.