While the Yen is showing some minor consolidation around a recent spike low, calls for additional easingfrom the BOJ from the OECD might leave the pressure on the Yen directly ahead. Reports of slack Chinesefactory order results over the weekend might be another factor set to leave the Yen under pressure. Calls forJapan to implement additional sales taxes, along with added easing, might keep the Yen under liquidationpressure.
Technical Outlook: The market made a new contract low on the break. Daily stochastics aretrending lower but have declined into oversold territory. The market’s close below the 9-day moving average is anindication the short-term trend remains negative. The swing indicator gave a moderately negative reading with theclose below the 1st support number. The next downside objective is now at 92.88. With a reading under 20, the 9-day RSI indicates the market is extremely oversold. The next area of resistance is around 93.29 and 93.53, while1st support hits today at 92.97 and below there at 92.88.