Overview:
USD/JPY is consolidating after hitting six-and-a-half month high of 81.46 on Thursday on expectations that opposition Liberal Democratic Party would win early December elections and endorse more monetary easing to boost Japan's economy. USD/JPY is also supported by demand from Japan importers. But USD sentiment dented by Philadelphia Fed's manufacturing index tumbling to minus 10.7 in November from 5.7 last month, while New York Fed's Empire State index for November stayed in negative territory at minus 5.2. USD/JPY upside is also limited by Japan exporter sales; selling of yen crosses amid diminished investor risk appetite (S&P slipped 0.16% overnight) on concerns over looming U.S. fiscal cliff of tax hikes and budget cuts that could push the U.S. economy into contraction, and data showing euro zone slipped into recession; lower U.S. Treasury yields; positions adjustment before weekend.
Preference:
Buy above 80.65 with targets 81.4 and 81.7 in extension.
Resistance Levels:
R1 - 81.46-81.48 (Thursday's high-61.8% Fibonacci retracement of decline from March 15 high of 84.18 to Sept. 13 low of 77.13)
R2 - 81.75 (April 20 reaction high)
R3 - 82.00 
Alternative scenario:
Sell below 80.65. Below 80.65 look for further downside with 80.3 and 80.05 as targets.
Support Levels:
S1 - 80.3
S2 - 80.05
S3 - 79.75
Tehcnical Comment:
The next resistances are at 81.4 and then at 81.7. USD/JPY daily chart is positive-biased as MACD & stochastics are in bullish mode.