$USDJPY

$USDJPY  closed higher due to short covering on Tuesday as it consolidates some of this months decline. The high-range close sets the stage for a steady to higher opening when Wednesday's night session beginstrading. 

Stochastics and the RSI are oversold but remain neutral to bearish signaling that sideways to lower prices are possible near-term. If September extends this month's decline, the reaction low crossing at .12514 is the next downside target. Closes above the 20-day moving average crossing at .12727 would confirm that a short-term low has been posted. 

First resistance is the10-day moving average crossing at .12680. 

Second resistance is the 20-day moving average crossing at .12727. 

First support is Tuesday's low crossing at .12556. 

Second support is the reaction low crossing at .12514.