The March Yen is managing to stay firmly within its recent consolidation zone, and is finding little in the way of safe-haven flows even with the Dollar vulnerable to post-FOMC pressure. Potential new BOJ QE measures in April continue to weigh on the Yen, and the market may need to see sustained strength in Japanese economic data before giving the Yen any benefit of the doubt. The Yen would clearly be a beneficiary of a dovish Fed shift, but a move above key resistance at 85.87 would require help from the domestic front.
Technical Outlook: Momentum studies trending lower at mid-range could accelerate a price break if support levels are broken. The close below the 9-day moving average is a negative short-term indicator for trend. The daily closing price reversal up on the daily chart is somewhat positive. The close over the pivot swing is a somewhat positive setup. The next downside objective is 83.88. The next area of resistance is around 85.37 and 85.80, while 1st support hits today at 84.41 and below there at 83.88.