FX.co ★ CADJPY reacting below descending trendline resistance! Drop incoming!

CADJPY holding below descending trendline resistance. A short term drop below our 1st resistance at 87.205 towards graphical swing low support and 1st support at 86.899 could be possible. Stochastics is reacting below resistance where price previously pulled lower as well.

Trading Recommendation

Entry: 87.205

Reason for Entry:

78.6% Fibonacci retracement, descending trendline resistance

Take Profit: 86.899

Reason for Take Profit:

-27.20% Fibonacci retracement, graphical swing low

Stop Loss: 87.413

Reason for Stop Loss:

Graphical swing high