USD/JPY: continues the corrective decline 1/9/2023

The USD/JPY pair touched the target to be retested at 145.50, recording its lowest level at 145.24.

On the technical side today, the Stochastic indicator still provides negative signals and gradually loses upward momentum, accompanied by the negative crossover coming from the simple moving averages.

We maintain our negative expectations, continuing towards the next target of the previous report, 145.10, considering that a decline below the mentioned level constitutes a negative pressure factor on the pair to target 144.70 initially before attempting to rise again.

Crossing upwards and rising above 146.10 leads the pair to resume the official upward trend with initial targets starting at 146.55, and gains may extend later towards 147.00.

Note: Today we are awaiting high-impact economic data issued by the American economy (US jobs data NFP, average wages, unemployment rate and manufacturing PMI), and from the Canadian economy, we are awaiting “Gross Domestic Product” and we may witness high volatility at the time the news is released.

Note: Trading on CFDs involves risks. Therefore, all scenarios may be possible. This article is not a recommendation to buy or sell but rather an explanatory reading of the price movement on the chart.

S1: 145.10	R1: 146.05
S2: 144.70	R2: 146.65
S3: 144.10	R3: 147.05