USD/JPY Weekly Technical Report 7-11/1/2013

The pair failed to stabilize above 88.25 area accompanied by heavy overbought signals on momentum indicators. Despite that, we cannot bet on a downside move while the pair is stable above 86.80 levels, therefore we remain neutral in our weekly report waiting for confirmation signals.

The trading range for this week is among key support at 85.50 and key resistance at 90.00.

The general trend over short term basis is to the upside targeting 91.70 as far as areas of  83.40 remain intact.

Support 87.45 87.15 86.80 86.00 85.50

Resistance 88.25 88.50 88.80 89.10 89.60

Recommendation Based on the charts and explanations above, we remain neutral for now awaiting more confirmations for the next move