Apparently the Yen continues to benefit from broad based global economic uncertainty, which in turn has sparked a couple weeks of short covering. Some players are starting to wonder if a two month consolidation just under 85.00 is a signal of a longer term low forming in the Yen but once macro-economic sentiment turns positive again, the Yen is likely to reverse course and resume its downward march. For now, the bulls hold a slight edge.
Technical Outlook: The moving average crossover up (9 above 18) indicates a possible developing short-term uptrend. Positive momentum studies in the neutral zone will tend to reinforce higher price action. The market’s short-term trend is positive on the close above the 9-day moving average. It is a mildly bullish indicator that the market closed over the pivot swing number. The near-term upside objective is at 85.28. The next area of resistance is around 84.99 and 85.28, while 1st support hits today at 84.14 and below there at 83.57.