USDJPY Analysis – October 6, 2012

USDJPY is facing the downward trend line resistance again, a clear break above the trend line will indicate that the downward movement from 80.61 has completed at 77.14 already, then further rise to 80.00 area could be seen. Key resistance is at 80.61, as long as this level holds, the price action from 77.66 is treated as consolidation of the downtrend from 84.17, another fall towards 75.75 previous low is still possible after consolidation.

For long term analysis, USDJPY remains in downtrend from 84.17. Further decline towards 75.75 (Oct 31, 2011 low) previous low could be expected over the next several weeks.

usdjpy daily chart