FX.co ★ Forecast for USD/JPY on January 22, 2025

On Tuesday, the USD/JPY pair traded within a range of 144 pips, ultimately closing with a slight decline of 12 pips. This movement suggests a continuation of a sideways trend, consolidating below the 156.04 level and above the MACD line.

The Marlin oscillator remains below the zero line in the downtrend area. With the Bank of Japan expected to raise interest rates by 0.25% on Friday, we anticipate the pair to decline toward its first target of 153.20. Should it successfully break this support, the price could further decline to around 151.30.

On the H4 timeframe, the Marlin oscillator is hovering near the neutral zero line. The price is facing resistance from above at the 156.04 level and is approaching the MACD line. Before the BOJ meeting, we may see the price remain within an extended range of movement.