The USD/JPY currency pair continues to move within a growing trend and a bullish channel. At the time of publication of this forecast, the US Dollar to Japanese Yen exchange rate is 156.62. Moving averages indicate a short-term bullish trend for the pair. Prices have broken above the area between the signal lines, indicating upward pressure from US Dollar buyers and potential for continued price growth from current levels. The Japanese Yen exchange rate forecast for January 2, 2026, anticipates an attempt at a bearish correction and a test of the support area near 156.45. This will then lead to an upward price rebound and continued growth in the USD/JPY pair above 158.65.
USD/JPY Forecast Japanese Yen for January 2, 2026
An additional signal supporting the USD/JPY pair’s growth will be a test of the support line on the relative strength indicator. A second signal will be a rebound from the lower boundary of the bullish channel. A decline and a breakout of 155.35 will cancel out the upward trend in the USD/Yen pair. This will indicate a breakout of the support area and continued decline in the USD/Yen pair. In this case, we should expect the pair to continue to decline below 153.65. Confirmation of the price increase should be expected with a breakout of the resistance level and a consolidation above 157.25. No important news from Japan that could impact the USD/JPY exchange rate is expected, so the pair will continue to move within the technical analysis framework.
USD/JPY Forecast Japanese Yen for January 2, 2026 suggests an attempt at a bearish correction with a test of the support zone near 156.45. Then, the bullish momentum in quotes will continue to develop above 158.65. A test of the trend line on the relative strength indicator (RSI) will support the pair’s upside. A decline in quotes and a breakout of 155.35 will cancel out the upward trend. This will indicate a breakout of the support level and a continued decline in the pair, with a potential target below 153.65.
Looking for the Best Forex Broker? We trade at RoboForex. You can receive a rebates from each trade when registering using our partner link
