Comments from Japanese officials fueled upside follow through in the Yen and there might be little in theway of solid resistance seen until the old high of 92.63. Suggestions from the Japanese Prime Minister that thelow yen was raising key import prices, suggests that even more declines in global energy prices are neededbefore countries with falling exchange rates can actually proclaim their economies are seeing a net benefit fromthe soaring Dollar pattern. In the short term, the bull camp has an edge in the Yen and therefore we can’t rule outa move to the highest level in a month.
Technical Outlook: Rising from oversold levels, daily momentum studies would support higherprices, especially on a close above resistance. The market’s short-term trend is positive on the close above the 9-day moving average. The market setup is supportive for early gains with the close over the 1st swing resistance.The next upside objective is 92.80. Short-term indicators suggest buying dips today. The next area of resistanceis around 92.51 and 92.80, while 1st support hits today at 91.51 and below there at 90.79.