While price hesitation may have set in following its recent rally, USDJPY continues to hold on its short term upside tone. With the pair now out of its consolidation zone, risk of further upside towards the 80.19 level, its Aug 04'2011 high cannot be ruled out. Further out, resistance lies at the 81.47 level, its July 08'2011 high and subsequently the 82.21 level. This view remains valid while the pair holds above its key support levels at 77.40/55. Its daily RSI is bullish and pointing higher supporting this view. Alternatively, the risk to our upside view will be a return below the 77.40/85 levels, its Aug 04'2011/falling trendline. Further down, support stands at the 75.92 level followed by the 74.00 level and then the 73.00 level. All in all, USDJPY is now biased to the upside on further recovery baring any price setbacks.