USDJPY: The pair weakened further on Thursday and followed through lower during Friday trading session today, breaking the 82.31 level and shifting focus to the 81.86 level. This is coming on the back of a loss of upside momentum at the 84.08/17 levels. A clearance of its key support at the 81.45/86 levels will pave the way for a run at the 80.57 level, its Mar 06’2012 low where a breach will target the 78.18/27 levels. Its daily RSI is bearish and pointing lower supporting this view. On the upside, a return above the 84.17 level must occur for the pair to resume its medium term uptrend towards the 85.49 level and then the 86.88 level. All in all, with USDJPY continuing to face further downside momentum, additional weakness cannot be ruled out.
