USDJPY - With pressure continuing to build to the downside following its loss of momentum at the 93.74, threats of further downside looks to shape up towards its Jan 08'10 low at 91.21. A turn below there will expose its Dec 04'09 high at 90.77 where a cap is expected to turn the pair back up again. Further down, the 88.30 level, its Dec 14'09 low and the 87.35/10 levels come in as the next downside objectives. Its daily RSI is bearish and pointing lower suggesting further weakness. On the other hand, in order for the pair to reverse its current downside vulnerability, a sustained acceleration through its channel top and its Jan 07'10 high at 93.74 must occur to build a case for further upside towards its .50 Fibonacci Retracement(101.43-84.80)/Aug 24'09 high at 95.05/01 ahead of its Aug 07'09 high at 97.77. On the whole, though retaining most of its recovery gains from the 84.80 level, USDJPY looks to weaken further towards the 91.21 level

Daily Chart: USDJPY

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