USD/JPY dropping nicely as expected, remain bearish

Price has started to drop really nicely from our selling area as expected. We remain bearish below major resistance at 114.32 (Fibonacci extension, horizontal swing high resistance, bearish divergence) and we expect to see a strong reaction from this level to push price down to at least 111.77 support (Fibonacci retracement, horizontal overlap support).

Stochastic (55,5,3) is seeing major resistance below 95% and has made a bearish triangle exit. We can also see bearish divergence vs price signalling that a reversal is fast impending.

Sell below 114.32. Stop loss at 115.09. Take profit at 111.77.


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