USD/JPY dropping nicely from resistance, remains bearish

We remain bearish and continue to sell below 111.56 resistance (Fibonacci retracement, horizontal pullback resistance) for a push down to at least 110.29 support (Fibonacci extension, horizontal pullback support, Elliott wave theory).

Stochastic (21,5,3) is reacting nicely off our intermediate resistance at 68% from where we expect a further drop.

Correlation analysis: we are seeing JPY strength with AUDJPY and USDJPY to drop.

Sell below 111.56. Stop loss at 112.27. Take profit at 110.29.

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