Japanese Preview ,
 [IMAGE] Forums Discuss these points in the Forums:  Forexnews Forum       T=
echnicals Live Charts Analysis available from: Cornelius Luca   J.P. Chorek=
   Technical Research Ltd.   Charts & News featuring Standard & Poor's     =
  Interest Rates   US: Japan: Eurozone: UK: Switzerland:   1.75%  0.15%  3.=
25%  4.0%  1.25-2.25%       [IMAGE] =09 [IMAGE]  Japanese Forex Trading Pre=
view  February 3, 7:00 PM: EUR/$..0.8620 $/JPY..132.90 GBP/$..1.4147 $/CHF.=
.1.7131  Japanese Forex Trading Preview by Darko Pavlovic  No key data.   T=
he dollar is trading around 133 yen after pulling back from three-year high=
s on Friday comments from Japanese FinMin Shiokawa that the yen fall was  t=
oo rapid . Markets  were also surprised after MoF chief diplomat Kuroda rev=
ersed himself that he saw no risk of further yen fall and warned that Japan=
ese currency decline last week had been excessive. Many analysts believe th=
at the government could overturn its laissez faire approach toward weak yen=
 as foreign investors continue to flee from Japan and under more pressure f=
rom Asian neighbors, which could depreciate their own currencies. Also, dea=
lers are more cautious ahead of G-7 meeting this week in Toronto. On Friday=
 Nikkei fell to a 4-month low of 9791, below the DJIA's level for the first=
 time in over 40 years..The yen benefited last week by S&P's assurance that=
 it did not plan to downgrade Japanese debt any further for the time being.=
 Finance Minister Shiokawa expressed on Sunday hope that the economic growt=
h rate would pull out of negative territory to zero by this autumn, now tha=
t the economy including its exports are improving. The government will try =
to reach 1.5% growth in fiscal 2003 by forging ahead with structurally refo=
rming the economy. Prime Minister Koizumi will ask top bureaucrats on Monda=
y to cut uncertain ties with politicians in relation to recent problems inv=
olving the Foreign Ministry. New Foreign Minister Kawaguchi and U.S. Secret=
ary of State Powell on Sunday agreed in a phone conversation to advance rel=
ations between Japan and the United States, ahead of U.S. President George =
W. Bush's visit to Japan this month. Support is viewed at 132.60 and 132.40=
. Resistance is seen at 135.05, 135.25 and 136.0.   EUR/USD is trading roun=
d 86.20 boosted by Friday's release of the Eurozone PMI, which exceeded for=
ecasts by rising for the third straight month to 46.2 in January from the p=
revious 44.1. Even though the PMI remained in contraction territory for the=
 tenth month, markets were optimistic about the Eurozone's prospects for a =
turnaround.   However, Euroarea inflation jumped to 2.5% y/y in January fro=
m the previous 2.1%, thereby dampening expectations for an ECB rate cut nex=
t week. The aforementioned data, along with the euro's plunge to a 6-month =
low of 85.64 in European trading, led 41 out of 45 economists in a recent R=
euters poll to predict that the European Central Bank will leave rates unch=
anged at 3.25%. Upside capped at 86.60, 87.0 and 87.50. Support holds at 85=
.55-- the 71.8% Fibonacci retracement of the move from 82.25 to 95.95, back=
ed by 85.0.  Looking forward to this week, key US economic releases include=
 factory orders, ISM (formerly NAPM) Non-manufacturing PMI, Q4 productivity=
, jobless claims, consumer credit and wholesale trade. From the Eurozone, m=
ajor indicators consist of Euroarea business and consumer confidence survey=
, PPI, Services PMI, German Services PMI, French Services PMI, Italian Serv=
ices PMI, unemployment, French INSEE industry survey, Spanish industrial pr=
oduction, German unemployment, ECB rate decision, German manufacturing orde=
rs, German industrial production and Dutch CPI. Highlights from Japan are t=
he trade balance, indices of business conditions, ESRI Tokyo consumer senti=
ment, money supply, wholesale prices and machinery orders.    =09[IMAGE] Au=
dio Mkt. Analysis Yen Bounces Up, Euro Drifts       Articles & Ideas  Dolla=
r Does Davos In New York   USD/JPY: ONeill, Koizumi and January Effect     =
  Articles & Ideas Forex Glossary   Economic Indicators   Forex Guides   Li=
nk Library      [IMAGE] =09
=09=09[IMAGE][IMAGE] [IMAGE][IMAGE]=09
=09=09  This e-mail is never sent unsolicited. If you wish to unsubscribe f=
rom this or any other Forexnews.com newsletters, please click here .   Any =
opinions expressed by representatives of Forexnews.com or its affiliates as=
 to the commentary, market information, and future direction of prices of s=
pecific currencies reflect the views of the individual analyst, and do not =
necessarily represent the views of Forexnews.com or its affiliates in any w=
ay. In no event shall Forexnews.com or its affiliates have any liability fo=
r any losses incurred in connection with any decision made, action or inact=
ion taken by any party in reliance upon the information provided in this ma=
terial; or in any delays, inaccuracies, errors in, or omissions of informat=
ion. =09
sara.shackleton@enron.com