The Dollar/Yen stopped just before 92.95 (Friday’s high was 92.87), and started to drop, drifting away from this new challenge which it’s obviously not ready for yet! The price then dropped, breaking the support specified in the report 92.22, and reaching the first suggested target 91.36 successfully. The current drop stopped just before the Fibonacci 50%for the short term at 90.90 (the low until the moment of preparing this report is 90.90). This indicates that this level is important for stetting the direction of the short term. If the price holds above this level we believe it can challenge Friday’s top, and the important resistance 92.95, if not today then later in the week. Short term resistance is at 91.59 and if broken the technical outlook will improve, and the price will target 92.15 first, then the important 92.95. The support is at 90.90 which proved important this morning. If broken, we will seethe price dropping to 90.44 & then 89.80.

Support:

• 90.90: Fibonacci 50% level for the rising move from 88.96.

• 90.44: Fibonacci 61.8% level for the rising move from 88.96.

• 89.80: hourly support.

Resistance:

• 91.59: important intraday level.

• 92.15: Fibonacci 61.8% for the short term.

• 92.95: May 18th high.