The Yen has violated a series of chart support levels over the prior 3 trading sessions and it is seeing added pressure from adverse domestic political developments over the weekend. With a couple Ministersresigning over the weekend and the international economic condition seemingly returning to normal, it is possiblethat the Yen is poised to return to the last two months lows. In the near term remain bearish toward the Yen aslong as it remains below 94.00.
Technical Outlook: The daily stochastics have crossed over down which is a bearish indication. Momentum studies are trending lower from high levels which should accelerate a move lower on a break belowthe 1st swing support. A positive signal for trend short-term was given on a close over the 9-bar moving average.The swing indicator gave a moderately negative reading with the close below the 1st support number. The nextdownside objective is 93.02. The next area of resistance is around 93.93 and 94.45, while 1st support hits todayat 93.21 and below there at 93.02.