The CHF/JPY trended downwards and showed lower lows and lower highs. The pair has broken below the strong support near 117.00 and currently this area is acting as resistance. The Fibonacci applied to the corrective wave up after the support breakout shows support levels.
The price moved within the descending channel, and yesterday under the heavy volume the pair broke both the lower trendline of the channel and technical and psychological support at 116.00.
While pair is trading in the resistance area near 117.00, consider selling CHF/JPY with targets either near S3 (115.00) or S4 (114.00). It is recommended to set stop loss just above the R1 (117.60).
Additionally, EUR and CHF could weaken substantially against other currencies.
Support: 116.60, 116.00, 115.00, 114.00.
Resistance: 117.60.
