Dollar-Yen broke the support 88.53 only to stop in the middle of the way to the suggested target, settling for 88.31. This break gives chance to more drop, but on one important condition. This condition is to stay below, and not break, the falling trend line from 92.13, which is currently only pips above the current price, at 88.53. If the price stays below this line, more drop is to be expected. Short term support is at 88.31, and if broken we will move slowly towards 87, where the targets 87.72 & 87.00 awaits. The technical outlook stays negative as long as we are below the resistance of the day 88.53. But in case this level is broken, USDJPY will enter a long awaited correction for the whole drop from 92.13, with the ideal targets at Dow & Fibonacci levels 89.58 & 90.22.

Support:

* 88.31: Asian session low.

* 87.72: Dec 10th low.

* 87.00: Nov 27th high.

Resistance:

* 88.53: the falling trend line from 92.13 on the hourly charts, the upper limit for the downtrend.

* 89.58: Dow 33.3% for the drop from 92.31.

* 90.22: Fibonacci 50% for the drop from 92.31.