The yen dropped sharply after Abe announced that yen devaluation was part of this three part plan to return Japan to a period of growth. From peak to trough, the yen lost about 27%. However, for the last few months the yen has been consolidating losses around the 38.2% Fib level of the 07-11 rally.
The real test for Abe will come when the yen breaks this pattern. Ideally, we'd like to see prices trade sideways.
