When people say they would rather hire junior programmers it is because of their drive to learn new stuff and their use of the most modern techniques, not their age.
Java is a great basis to work off, and I bet you'll get a fine job with it, but also consider learning a more dynamic language like Python, perhaps learn it at codecadamy.
I don't personally have any experience with being 37 and looking for a job, but I don't see a reason why someone should turn a fine developer down because of his age.
Also, 37 is not very old at all..