USDJPY ends the week with losses of more than 5 percent. From a daily chart perspective, the downside of USDJPY is neutral if the key price is below the 100-day EMA. USDJPY extended its free fall, falling 200 points below the 100-day exponential moving average (EMA) of 1 0.76 on Friday. Speculation that the central bank may slow the pace of rates and a decline in US Treasuries are two of the main factors driving the US dollar (USD). Accordingly, USDJPY is trading at 138.5 , which is 1.73% lower than its opening price. USDJPY PRICE ANALYSIS: TECHNICAL OVERVIEW USDJPY shows that Thursday’s price action broke a monthly uptrend, extending the decline to the 100-day EMA at 1 0.7 . On Friday, USDJPY hit an intraday high around 1 2.50 before making a sharp jump after buyers failed to break the September 22 high of 1 0.3 , changing the pair’s bias from neutral to neutral to negative. The Relative Strength Index (RSI) dipped to the downside and entered oversold conditions. While USDJPY has erased key support levels, a break of the 200-day EMA is needed to challenge Japanese yen (JPY) buyers. Otherwise, USDJPY may be under buying pressure. Therefore, the first support of USDJPY would be 138.00. A breakdown below shows the psychological level of 137.50, then buy the six-month uptrend line around 136.50 before 136.00. On the upside, USDJPY’s first resistance would be the July 1 intraday high of 139.38, followed by the psychological 1 0.00 before the 100-day EMA.