USDJPY: The pair is biased to the downside on further correction as it continues to decline following its past week’s losses. In such a case, its key support zone at the 78.78 level will be targeted initially where a violation will call for a run at the 78.00 level. On further declines below that level, the 77.66 level will be aimed at where a breach will pave the way for a move further lower towards the 77.00 level. Its daily RSI is bearish and pointing lower suggesting further weakness. Alternatively, the pair will have to break and hold above the 79.78 level, its declining trendline and the 80.59 level to reverse its present weakness and bring gains towards the 81.77 level. Further out, resistance stands at the 82.53 level. All in all, USDJPY continues to face further downside risk.
