Down But not Out *RES 3: 109.93....>

DOLLAR-YEN TECHS: Down But not Out

*RES 3: 109.93 High May 30

*RES 2: 109.73 High Dec 2 and key resistance

*RES 1: 109.21 High Dec 3

*PRICE: 108.56 @ 20:32 GMT Dec 11

*SUP 1: 108.43 Low Dec 4 and Low Dec 9

*SUP 2: 108.24 Low Nov 14 and key support

*SUP 3: 107.89 Low Nov 1

Prices sank below the 50-dma Wednesday on broad-based USD weakness, highlighting

that the pair remains vulnerable following the sharp rejection off the December

2 high of 109.73 high. The pullback cleared 108.64 support, taking out the

50-dma today. The next key support is at 108.24, Nov 14 low. A break would

threaten a deeper sell-off towards 107.89, Nov 1 low. To resume the uptrend and

a bullish focus, the pair needs to retest and clear 109.73. This would open

109.93, May 30 high and 110.50, a Fibonacci projection.