USDJPY approaching support, potential bounce!

USDJPY is approaching our first support at 105.63 (horizontal swing low support, 61.8% Fibonacci extension, 78.6% Fibonacci retracement). A strong bounce might occur at this level pushing price up to our major resistance at 106.64 (horizontal swing high resistance, 61.8% Fibonacci retracement, 100% Fibonacci extension). A breakout of our intermediate resistance level at 106.08 (Horizontal overlap resistance, 50% Fibonacci retracement) might provide further bullish acceleration to our major resistance level.

Stochastic (34,5,3) is also approaching its major support level at 5%, a good precursor for a potential rise in price should it bounce off this level.

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