Title: USD/JPY Attempts to Overcome Negative Pressure Amid Mixed Technical Signals
Source: Economies.com
Author: Economies.com Analyst Team
Date: January 6, 2026
Link: [Original Article](https://www.economies.com/forex/usd-jpy-analysis/the-usdjpy-is-attempting-to-get-rid-of-its-negative-pressure-analysis-06-01-2026-123855)
The USD/JPY currency pair has been attempting to shake off the prevailing negative pressure as of January 6, 2026, showing signs of attempting a recovery despite mixed signals coming from various technical indicators. While the pair has recently tested higher levels, uncertainties in direction remain due to inconsistent signals and key resistance levels that have not been convincingly breached.
This analysis reviews current market behavior, the USD/JPY’s positioning in terms of support and resistance, and what traders should watch out for in the coming sessions.
Latest Market Activity
– The USD/JPY currency pair stabilized near the 144.50 level after showing a short-term rebound from lower support zones.
– Despite previous downward movement, the pair made a concerted bounce upward during the intraday session, suggesting a potential to neutralize its bearish tone.
– A significant obstacle currently lies at the 145.35 level, which represents short-term resistance. Breaching this resistance could confirm a resumption of upward momentum.
Current Technical Signals
The price movement has displayed the following characteristics:
– The 50-day Exponential Moving Average (EMA50) is currently acting as a ceiling, keeping the pair under limited upward movement. This indicator serves as dynamic resistance and continues to weigh on the price action.
– The stochastic oscillator has begun to exit negative territory after a sharp dip, indicating a possible recovery in momentum. This crossover, if sustained, could support a bullish reversal.
– Price structure remains within a minor sideways pattern between support at 143.30 and resistance around 145.35.
Bearish and Bullish Scenarios
Given the current technical formation, two primary scenarios are developing:
Bearish Case:
– The pair may continue to trade just below the 50-day EMA (near 144.70), which prevents further bullish momentum.
– Sustained pressure beneath this level could force the pair toward the next significant support at 143.30.
– A break below 143.30 may trigger extended declines toward the 142.15 and 141.00 marks, which are major psychological and technical support zones.
– On the downside, renewed selling pressure could open the door to further bearish market structure.
Bullish Case:
– A confirmed break above 145.35 would generate positive sentiment and push the pair sharply higher.
– If the USD/JPY closes multiple sessions above this level, it could resume its upward trend toward the next key levels at 146.85 and 147.40.
– A breach of these zones would represent more than a simple correction, shifting the short-term bias back in favor of the bulls.
Key Technical Levels to Watch
Support Levels:
– 143.30 – Near-term price floor and short-term confirming level for bearish continuation.
– 142.15 – Next substantial support, aligning with previous congestion zones.
– 141.00 – Psychological support and long-term trend boundary.
Resistance Levels:
– 145.35 – Critical resistance level that needs to be broken for bullish confirmation.
– 146.85 – Short-term bullish target if prices move beyond 145.35.
– 147.40 – Extended bullish target representing a stronger upward correction phase.
Market Context and Influencing Factors
Several macroeconomic and geopolitical factors may be influencing the USD/JPY’s movement:
– The Federal Reserve’s monetary policy outlook remains uncertain amid fluctuating inflation and employment data in the United States. Traders are paying close attention to any clues regarding possible rate cuts or extended tightening.
– The Bank of Japan (BoJ) has maintained highly accommodative policy,
Explore this further here: USD/JPY trading.