With 90.00 being defended in USD/JPY, pressure in EUR/JPY is being felt now in EUR/USD. that pair dipped briefly through the 1.3450 level to trigger more stops before rebounding a bit. News of potential downgrades of European sovereigns Ireland and Greece has cast a pall over the euro today while risk aversion in the face ofa protracted US recession is weighing on USD/JPY. The combo has seen EUR/JPY fall nearly 4 yen today.
1.3430 is modest support on further dips while 1.3530 is containing rebounds near-term. USD/JPY has shown no bounce at all, but if short a trailing stop above 90.50 looks logical.
