The Yen remains vulnerable on the charts and generally positive equity market gains overnight would seem to leave the bear camp in the Yen with a slight edge. We continue to think that the December Yen is poised toslide below 92.00 ahead especially if a quasi-risk-on vibe remains in place. In our mind, the Yen needs a return tonormal big picture macro-economic conditions to return to and extend below the late September and earlyOctober lows.
Technical Outlook: Momentum studies trending lower at mid-range could accelerate a pricebreak if support levels are broken. The market’s short-term trend is negative as the close remains below the 9-daymoving average. A positive setup occurred with the close over the 1st swing resistance. The next downsideobjective is now at 92.19. The next area of resistance is around 93.11 and 93.32, while 1st support hits today at92.55 and below there at 92.19.