A fresh lower low in the Yen suggests that safe haven interest in the Yen has continued to wane throughout the last month perhaps because China has shown interest in stimulating growth and the anxiety off the Greek situation has also reduced global uncertainty. Another issue contributing to the weak slide in the Yen is news of a slight improvement in Japan Feb Manufacturing PMI results and therefore we can’t rule out a return to the early February lows down at 83.02.
Technical Outlook: Declining momentum studies in the neutral zone will tend to reinforce lower price action. The market’s close below the 9-day moving average is an indication the short-term trend remains negative. It is a slightly negative indicator that the close was lower than the pivot swing number. The next downside objective is now at 83.18. The next area of resistance is around 83.83 and 84.13, while 1st support hits today at 83.36 and below there at 83.18.