Weekly Report 25-29/01/2010

The dollar versus the yen is trading within a descending channel after confirming the breach of the Rising Wedge, mentioned in our previous reports and therefore our bearish expectations prevail. We expect trading this week to prevail normally within the descending channel mentioned and we expect a bearish move over intraday basis targeting initially 88.20 and then 86.90; the bearish move requires steady daily closings below 93.20.

The trading range for the week is among the major support at 86.90 and the major resistance at 93.20.

The general trend is to thedownside as far as 102.60 is intact with targets at 82.60.

Previous day Report

Support89.2588.6088.0087.2086.20
Resistance90.3091.2592.2092.6093.20
RecommendationBased on the charts and explanations above our opinion is selling the pair from 91.25 targeting 89.25 and stop loss above 92.60, might be appropriate this week