USDJPY Analysis – July 28, 2012

USDJPY is facing the support of 77.66, a breakdown below this level will indicate that the downtrend from 84.17 has resumed, then deeper decline towards 76.00 could be seen. On the other side, as long as 77.66 support holds, the price action from 77.66 would possibly be consolidation of the downtrend from 84.17, and one more rise to 82.00 area to complete the consolidation is still possible.

For long term analysis, USDJPY has formed a cycle top at 84.17 on weekly chart. Pullback to 75.00 area would likely be seen over the next several weeks.

usdjpy daily chart