• Yen bulls relentless after yesterday's BoJ showdown, where the Bank of Japan announced that it was not loosening policy, largely disappointing markets.
   
• Adding to the bearish bias was a subdued US dollar on the back of the GDP data released overnight. 
   
• US GDP growth slowed to 0.5% from Q4 2015’s 1.4%, as compared with consensus projection of 0.6% growth,  the slowest quarterly rate since Q1 2014.
   
• On a year-on-year basis, the economy grew 1.9%, as compared with 2% growth seen in Q4 2015. 
   
• Governor Kuroda has demonstrated that weakening the yen is *not* a priority for the BoJ, consistent with his long-standing rhetoric.
   
• We see no respite from bears for now, 106.64 which is 38.2% Fib retrace of the move up from 2012 is next likely target.
   
• On the downside supports are seen at 107, 106.80 (Week ended Sept 20 2015 low) and then 106.64 which is 38.2% Fib retrace of the move up from 2012.