USDJPY Analysis – January 16, 2010

USDJPY broke below 91.25 support. Deeper decline to 89.00-90.00 area to reach next cycle bottom on daily chart is expected next week. Key resistance is at 92.20, a break above this level will indicate that a cycle bottom has been formed and another rise towards 95.00 could be seen.

For long term analysis, USDJPY has formed a cycle bottom at 84.82 level on weekly chart. Bounce towards 100.00 area is expected in next several weeks.

usdjpy daily chart