A close above the 81.30/40 level would be encouraging for longs while a close below that level will a disappointment. Daily trendline resistance comes in around 81.30 and the 21-day moving average around 81.40. A close below those levels will be a modest disappointment on a technical basis, keeping the downtrend alive.
A close above will raise hopes that the trend is running out of steam and short-covering will dominate in the near-term. Some of the need to cover shorts was alleviated today as very heavy amounts of USD/JPY calls were bought this morning for expiry a week from today. 82.00 ans 83.00 strikes were in heavy demand.