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USDJPY facing bearish pressure, potential for further downside!

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Prices are facing bearish pressure from the descending trend line as well as horizontal swing high resistance which is in line with 100% fibonacci extension and 78.6% fibonacci retracement. Prices are likely to push down towards horizontal swing low support which is in line with 100% fibonacci extension and 127.2% fibonacci extension. If prices break through descending trend line resistance and 1st resistance, price is likely to face resistance from 2nd resistance which is a horizontal swing high resistance which coincides with 78.6% fibonacci retracement. EMA is above prices, showing a bearish pressure for prices.

Trading Recommendation

Entry: 110.688

Reason for Entry:

Horizontal swing high resistance, 78.6% fibonacci retracement, 100% fibonacci extension

Take Profit: 110.375

Reason for Take Profit:

Horizontal swing low support, 78.6% fibonacci extension, 127,2% fibonacci extension

Stop Loss: 110.848

Reason for Stop Loss:

Horizontal swing high resistance, 78.6% fibonacci retracement

The material has been provided by InstaForex Company - www.instaforex.com