Despite a tight range in the Yen overnight, the currency remains in a pattern of lower highs and thereforewe can’t rule out at least a temporary return to last week’s consolidation lows down at 97.07. Closer in support isseen at 97.24 and it could take a rise back above 97.74 this week to effectively throw off our negative bias in theYen.
Technical Outlook: Momentum studies are declining, but have fallen to oversold levels. Anegative signal for trend short-term was given on a close under the 9-bar moving average. It is a mildly bullishindicator that the market closed over the pivot swing number. The next downside target is now at 97.22. The nextarea of resistance is around 97.68 and 97.83, while 1st support hits today at 97.38 and below there at 97.22.