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Friday, December 14, 2012

$USDJPY Morning Commentary

$USDJPY was lower overnight as it extends the decline off September's high. 

Stochastics and the RSI are diverging but are bearish signaling that sideways to lower prices are possible near-term. If March extends the decline off September's high, monthly support crossing at .11879 is the next downside target. Closes above the 20-day moving average crossing at .12160 are needed to confirm that a short-term low has been posted. 

First resistance is the 20-day moving average crossing at .12160. 
Second resistance is the reaction high crossing at .12253. 

First support is the overnight low crossing at .11920. 
Second support is monthly support crossing at .11879.