USDJPY – Weekly Forecast 15 Jul 2013

The USDJPY maintained a bearish momentum last week , topped at 101.52, bottomed at 98.23, now pressure will be on the key support 98.23, the USDJPY will have to hold below the 98.23 levels on a weekly closing basis to push the market for further downside losses, If seen it will target the 96.94 levels where a breach will turn focus on the 93.78  levels.

On the upside, a failure to hold below the 98.23 levels could mean a return to the 101.52 levels, a break above 101.52 will flip bias back to the upside for retesting 103.73 levels.

In the long-term view, the USDJPY is bullish, but fall from 103.73 treated as consolidation pattern, and fall from 101.52 treated as a second leg  from 103.73, anyway, fall from 103.73 is likely to extend beneath  93.78, but downside below 93.78 should be contained well above 87.30 levels, where strong rise is suggested  towards/above 103.73 from this area.

In all, as long as 103.73 holds on a weekly closing basis, the USDJPY is likely to return to its downside bias with risk towards 91.00 levels.