The USD/JPY is experiencing some solid support as bulls put up a fight around our 97.59 level. Economic recovery hopefuls aren't so eager to give up on their vision, and are doing what they can to prevent a retraction below our key 1st tier downtrend line.

Therefore, even though the USD/JPY is trading below our 1st tier uptrend line, the possibility of the currency pair continuing its battle with 100 isn't lost. That being said, despite the strong defense by the bulls, the USD/JPY should ultimately follow its positive correlation with U. S. equities like the rest of the major dollar pairs.

The Cable is returning some of yesterday's gains after deflecting off the inflection point of our 1st tier downtrend and 2nd tier uptrend lines. Today's weakness comes in reaction to a weaker than expected number from the CBI regarding its expectation for industrial orders.

Investors didn't like too much of what the CBI's chancellor had to say yesterday concerning Britain's new budget and the health of the nation's economy. Though the GBP/USD managed to fight back above the psychological 1.45 level, the downtrend is still playing a lead role in today's action.