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Saturday, August 18, 2012

$USDJPY

$USDJPY  closed lower on Friday as it extends this week's decline. The low-range close sets the stage for a steady to lower opening when Monday's night session begins trading. 

Stochastics and the RSI remain bearish signaling that sideways to lower prices are possible near-term. If September extends this week's decline, the reaction low crossing at .12514 is the next downside target. Closes above the 20-day moving average crossing at .12744 would confirm that a short-term low has been posted. 

First resistance is the 20-day moving average crossing at .12744. 
Second resistance is the reaction high crossing at .12839. 

First support is today's low crossing at .12568. 
Second support is the reaction low crossing at .12514.