USD/JPY little easier on day, but struggling for clear direction. Orders, stops noted

USD/JPY presently at 98.45 is little changed on the day having started out in Europe up around 98.75.

Overnight we had the release of the Tankan report, which was as grim as had been feared, with business confidence falling at its fastest pace on record. The Q-1 Tankan large manufacturers index fell to -58 from -24 in Q-4 2008, while the large manufacturers outlook component declined to -51 from -36.

The Tankan has helped give the USD/JPY pairing some underpinning, but as we stated yesterday the upside has some pretty formidable technical resistance to overcome. For today supports seen lying at 98.15 and then 97.90, while resistances are up at 99.50, 99.67 and 99.90.

Sources report sell stops gathering just below 98.0, while sell orders are seen up at 99.60, just ahead of important 99.67. You can bet your bottom dollar there are sizeable buy stops gathered around 99.70/75.