With favorable talk from the BOJ overnight, the Yen looks to be facing some safe haven liquidationpressure. In fact, the BOJ official even outlined the potential measures that could be taken if the Japaneseeconomy were to overheat. In the end, seeing the BOJ beginning to consider exiting stimulus efforts couldeventually be very supportive of the Yen. In the meantime, the path of least resistance in the Yen remains downand targeting is seen down at 97.94 to 97.78.
Technical Outlook: Momentum studies trending lower at mid-range should accelerate a movelower if support levels are taken out. The intermediate trend has turned down with the cross over back below the18-day moving average. It is a slightly negative indicator that the close was under the swing pivot. The nextdownside objective is now at 97.78. The next area of resistance is around 98.32 and 98.58, while 1st support hitstoday at 97.92 and below there at 97.78.