USD/JPY: Decline could extend towards 135.60 on a dip below 137 – SocGen

USD/JPY witnessed a gradual decline for five consecutive sessions. Economists at Société Générale analyze the pair’s technical outlook.

Move beyond 142 would be essential for an extended up-move

The pair is now close to key support of 138/137 representing the upper limit of previous multi-month consolidation. An initial bounce is expected, however, a move beyond 142 would be essential for an extended up-move. 

In case USD/JPY establishes below 137, the decline could extend towards 135.60 and projections of 134/133.80.

See: USD/JPY likely has further room to run lower – TDS