No change for our negative technical outlook for this pair, as long as we are trading below the falling trend line from June 4th top. Last week, we adjusted the falling trend line on the hourly chart to include Friday's jump. We still believe in USD/JPY weakness, and we believe it will travel south. Only a break of this line in specific will change our minds. This line is currently running at 84.72 (please refer to the attached chart). To keep trading below it, indicates more downside activity, especially after the BoJ disappointed again last week, as the "Japs" said once again they are watching closely, but they did nothing! The market has had it with these comments, and now the Japanese authorities should buy tickets to the "Yen Show", and see what it will do to the Dollar & the Euro! Short term support is at 83.79, and if broken, we will be on the way to our long-awaited target at 82.00, then we will see the psychological level at 80.00. On the other hand, the above mentioned trend line is at 84.83. If broken, the Dollar will be violent to us all, as it will shoot up to 86.25 &
86.95.

Support:

83.79: the rising trend line from Wednesday's low on intraday charts.

82.00: the falling trend line on the weekly chart, combining the monthly lows of Dec 2008, Jan & Nov 2009.

80.00: psychological level.

Resistance:

84.72: the falling trend line from June 4th top on the hourly chart

86.25: Jul 16th bottom.

86.95: Jul 1st low.