USDJPY (112.09): The USDJPY has been trending lower following the brief consolidation seen near the falling trend line. Price action has been edging lower after trading flat within the resistance level of 113.00 and support level of 111.74. We expect this range to be maintained in the near term with USDJPY likely to see a modest bounce off the support. However, in the event of a break down below 111.74, we can expect further declines to push USDJPY lower towards the support level of 111.00 – 110.88 region where the next main support level resides.
