FX.co ★ USDJPY failed to breakout from descending trendline resistance! Potential for drop!

USDJPY failed to breakout from descending trendline resistance. We may potentially see a drop to our 1st supportat 109.750, in-line with our 61.8% Fibonacci retracement, 78.6% Fibonacci extension and ascending trendline support. Otherwise, price could potentially swing towards 1st resistance at 110.440, in-line with our 78.6% Fibonacci retracement, 100% Fibonacci extension and horizontal overlap resistance.

Trading Recommendation

Entry: 110.145

Reason for Entry:

61.8% Fibonacci retracement, 78.6% Fibonacci extension and descending trendline resistance

Take Profit: 109.750

Reason for Take Profit:

61.8% Fibonacci retracement, 78.6% Fibonacci extension and ascending trendline support

Stop Loss: 110.440

Reason for Stop Loss:

78.6% Fibonacci retracement, 100% Fibonacci extension and horizontal overlap resistance