USD/JPY could tank to 136/135.50 in case July peak of 139.40 fails – SocGen

FXStreet Insights Team FXStreet

USD/JPY achieved the upper limit of a multi month channel at 146 after which a sharp reaction has taken shape. The pair could fall as low as 136/135.50 on failure to hold above July peak 0f 139.40, analysts at Société Générale report.

Initial resistance aligns at 143.80

“Break below the lower band of recent range highlights possibility of a short-term pullback.”

“Next support is located at July peak of 139.40. In case the pair fails to defend it, the down move is likely to extend towards 138.10 and even towards the lower limit of the channel at 136/135.50.”

“First resistance is at 143.80.”

Author

FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

Editor's Picks

EUR/USD bears await break below 100-day SMA support near 1.1665 area

The EUR/USD pair attracts heavy selling for the second straight day and dives to a nearly four-week trough, around the 1.1670 region, during the Asian session on Monday. Bearish traders now await a sustained break below the 100-day Simple Moving Average before positioning for an extension of the recent pullback from a three-month top, or levels just above the 1.1800 mark touched on December 24.

GBP/USD falls toward 1.3400 near 50-day EMA

GBP/USD extends its losses for the second successive session, trading around 1.3420 during the Asian hours on Monday. The technical analysis of the daily chart indicates that the 14-day Relative Strength Index at 53 has eased from near overbought, indicating that momentum has cooled while remaining above the midline. RSI holds above 50, keeping a modest bullish bias.

Gold on fire at the start of the week on US-Venezuela tensions

Gold regains upside traction early Monday as flight to safety prevails on Venezuela turmoil. The US Dollar finds strong haven demand, caps Gold’s upside as focus shifts to US jobs data. Gold’s daily technical setup suggests that more upside remains in the offing.

Bulls firmly in control as Bitcoin breaks $93K, Ethereum and Ripple extend gains

Bitcoin, Ethereum, and Ripple extended their rallies on Monday, gaining more than 4%, 6%, and 12%, respectively, in the previous week. The top three cryptocurrencies by market capitalization could continue to outperform, with bulls in control of the momentum.

Economic outlook 2026-2027 in advanced countries: Solidity test

After a year marked by global economic resilience and ending on a note of optimism, 2026 looks promising and could be a year of solid economic performance. In our baseline scenario, we expect most of the supportive factors at work in 2025 to continue to play a role in 2026.