USD/JPY closed higher due to profit taking on Monday as it consolidates some of this month's decline. The mid-range close sets the stage for a steady opening on Tuesday. Stochastics and the RSI remain bearish signalling that sideways to lower prices are possible near-term. If it extends this month's decline, the reaction low crossing is the next downside target. Closes above last Monday's high crossing would confirm that a short-term low has been posted.