FX.co ★ USD/JPY bouncing nicely as expected, remain bullish for a further bounce

The price has dropped further to our buying area and has now started bouncing off our key support area. The plan is to remain bullish above the key support level at 110.88 (Fibonacci retracement, horizontal overlap support, Fibonacci extension) and we expect to see a bounce above this level for a short term correction to at least 112.42 resistance (Fibonacci retracement, horizontal overlap resistance).

Stochastic (34,5,3) is bouncing nicely off our 1.2% support as expected.

Buy above 110.88. Stop loss is at 109.97. Take profit is at 112.42.