FX.co ★ CAD/JPY Is Approaching Resistance, Lookout For A Reversal!

CAD/JPY is approaching resistance at 86.06 (61.8% Fibonacci retracement, 50% Fibonacci retracement, horizontal overlap resistance) where we expect the price to fall to its support at 83.36 (50% Fibonacci retracement, horizontal overlap support). We do have to be cautious of the intermediate support at 83.91 (38.2% Fibonacci retracement, horizontal swing low support).

Stochastic (89, 5, 3) is approaching resistance at 97%. We have also identified a bearish divergence with the price which contributes to our bearish bias.

Sell below 86.06. Stop loss 87.69. Take profit at 83.36.