The USDJPY currency pair has been moving sideways in a trading range between 127.21 and 137.90 for a while. As long as the resistance at 137.90 holds, the pair’s current sideways move could be considered as a consolidation phase for the downtrend from 151.94.
If this view is correct, the USDJPY could experience further declines to 123.00 after completing the current consolidation.
However, if the price manages to break above the resistance level at 137.90, it would indicate that the downward movement had already completed at 127.21, and the pair could target the next resistance at 142.00, followed by 145.50.
In summary, the USDJPY currency pair is currently experiencing a sideways move between 127.21 and 137.90. If the resistance at 137.90 holds, the pair could decline to 123.00 after completing the consolidation. However, a breakout above 137.90 would suggest that the downtrend had already completed, and the pair could target the next resistances at 142.00 and 145.50.