A minor upside breakout overnight offers the bull camp hope of more gains ahead as the fear of global slowing remains in place after fresh fears of Chinese deflation were seen in the wake of a private Chinese PMI result overnight that managed only a meager uptick. Up-trend channel support in the March Yen is seen today down at 84.50 and resistance rises to 85.60.
Technical Outlook: The cross over and close above the 60-day moving average is an indication the longer-term trend has turned positive. Momentum studies trending lower at mid-range could accelerate a price break if support levels are broken. The intermediate trend could be turning up with the close back above the 18-day moving average. Market positioning is positive with the close over the 1st swing resistance. The next downside target is 84.21. The next area of resistance is around 85.64 and 85.88, while 1st support hits today at 84.80 and below there at 84.21.