A gap lower opening in the March Yen gives the bear camp an edge, even though the gap was fairly small.The Yen was undermined by softer than expected Chinese economic data, renewed US tapering fears and bynoted declines in a number of global equity markets. It is also possible that the Yen was under pressure becauseof softer than expected Chinese export figures that were released overnight. In the near term, the path of leastresistance is pointing downward and the next significant support point off the monthly Yen charts isn’t seen until93.40. Another critical long term support level in the Yen is seen down at 92.38.
Technical Outlook: Daily stochastics declining into oversold territory suggest the selling may bedrying up soon. A negative signal for trend short-term was given on a close under the 9-bar moving average. Thedaily closing price reversal down puts the market on the defensive. The market’s close below the pivot swingnumber is a mildly negative setup. The next downside target is 94.66. The market is approaching oversold levelson an RSI reading under 30. The next area of resistance is around 95.26 and 95.55, while 1st support hits todayat 94.82 and below there at 94.66.