JPY underperformed overnight following Nikkei...>

YEN: JPY underperformed overnight following Nikkei reports that the BoJ is

considering a slight downgrade to its assessment of the economy in March.

- USDJPY cleared the 100 & 200-dma's to Y111.64 and holds firm in early Europe.

A break above brings the Mar 7 high back into view at Y111.86, ahead of a run at

the Y112.00 level which has previously proved hard to overcome.

- EURJPY extended the uptrend before topping out at Y126.42. Expect resistance

through Y126.50/55 from a series of previous high & 100-dma, a break opens the

Mar 5 high at Y126.94.

- GBPJPY printed 4-month highs of Y148.72 yesterday, but has since drifted back

toward Y148.00/05. T-line res off the May 18 high comes in today at Y149.08.

- NZDJPY topped out at Y76.46, meeting resistance ahead of Y76.50/55 which

represents a series of previous highs through Feb & Mar & 61.8% fibo of

Y78.86-69.14.

- CADJPY clears the 100-dma (Y83.74) to Y83.88 with topside focus on a break of

the Y84.00 level. Above here brings the Mar 1 ytd high & 200-dma back into view

at Y84.23/54.