JPY opened at Y100.14 this morning in Asia while euro-yen opened at Y135.57. Dollar-yen ran into some early weakness on comments from Fed chairman Ben Bernanke, which triggered a broad dollar retreat and pushed dollar-yen down to Y100.06 initially. But the euro benefited from those remarks and euro-yen followed suit with the cross jumping to an early high of Y135.95. That pulled dollar-yen off the low and it returned to Y100.12. Both pairs however turned lower again from mid-morning as Japanese stocks traded lower, and euro-yen sank to a low of Y135.46 while dollar-yen dropped through Y100.00 to trade a new morning low of Y99.94. Dollar-yen was last at Y100.00 while thecross traded at Y135.54. The pair is seen needing a break of the 6-month trend resistance line at Y100.39 to turn attention to the September monthly high at Y100.61. Daily tech studies are at overbought levels which do not bode well for an immediate continuation higher with a close above the recent Y100.44 high needed to kick start bullish momentum and reconfirm the focus on the Y100.85-90 region. Support is now seen at Y99.53, 23.6% of the pair’s Y96.57 to Y100.44 move.
