USDJPY approaching resistance, potential drop!

USDJPY is approaching our first resistance at 107.12 (61.8%, 100% Fibonacci extension, 23.6% Fibonacci retracement). A strong drop might occur below this level, pushing price down to our major support at 106.16 (horizontal swing low support, 61.8% Fibonacci extension).

Stochastic (21,5,3) is approaching our major resistance and a reaction off this level might be a good precursor of a potential drop in price.

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