The Yen has also managed a bounce that might be primarily the result of oversold technical condition but the Yen also showed a noted fall off in volume and open interest since the decline below 93.18. We might alsonote that volume has tried to pick back up as the December yen has consolidated around the 92.00 level. Anormal corrective bounce in the Yen might yield a temporary recovery to 92.40.
Technical Outlook: Daily stochastics are showing positive momentum from oversold levels,which should reinforce a move higher if near term resistance is taken out. The market’s close below the 9-daymoving average is an indication the short-term trend remains negative. With the close higher than the pivot swingnumber, the market is in a slightly bullish posture. The next upside target is 92.40. Selling may soon dry up sincethe RSI is under 20 indicating the market is extremely oversold. The next area of resistance is around 92.23 and92.40, while 1st support hits today at 91.77 and below there at 91.48.