The USD/JPY currency pair has officially concluded its long-term upward cycle that originated from the lows recorded on April 22, 2025. According to technical analysis from ActionForex, the pair has transitioned into a significant corrective phase after reaching its peak on January 14, 2026. The current downward movement is identified as a zigzag Elliott Wave structure, suggesting further weakness in the near term. This shift indicates that the previous bullish momentum has stalled, giving way to a broader retracement of recent gains. Traders are closely monitoring key support levels as the corrective pattern unfolds across the charts. While the outlook is bearish in the short term, the depth of the pullback will depend on sustained technical pressure and market sentiment.
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