FX.co ★ USDJPY reversed from resistance, potential drop!

Price is approaching 1st resistance at 109.978 in line with 61.8% Fibonacci retracement and 161.8% Fibonacci extension where it is could reverse down to 1st support at 109.112 in line with 78.6% Fibonacci retracement and 61.8% Fibonacci extension. Our bearish bias is further supported by how MACD is holding below the 0 line. Otherwise price may continue to bullish to 2nd resistance at 110.394 in line with Horizontal swing high and 200% Fibonacci extension .

Trading Recommendation

Entry: 109.978

Reason for Entry:

61.8% Fibonacci retracement and 161.8% Fibonacci extension

Take Profit: 109.112

Reason for Take Profit:

78.6% Fibonacci retracement and 61.8% Fibonacci extension

Stop Loss: 110.394

Reason for Stop Loss:

Horizontal swing high and 200% Fibonacci extension