USDJPY approaching support, potential rise!

USDJPY is approaching our first support at 105.55 (61.8% Fibonacci retracement, 100% Fibonacci extension). A strong bounce might occur at this level, pushing price up to our major resistance at 106.12 (38.2% Fibonacci retracement, Horizontal pullback resistance).

Stochastic (21,5,3) is also approaching its major support at 12%, in line with the potential downside before price reaches our buy entry. A bounce off this level might be a good precursor of a rise in price.

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