CHF/JPY – Potential Reversal Setup

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CHF/JPY – Potential Reversal Setup
The **Swiss Franc/Japanese Yen (CHF/JPY)** pair has been in a downtrend, but recent price action suggests a potential **bullish reversal** is forming.

Key support at **165.059 - 166.234** has held strong, with multiple rejection wicks (highlighted in red ovals), indicating **buying pressure** at these levels.

A **double bottom pattern** is emerging, further strengthening the case for a possible upside move.

The **Fibonacci retracement levels** align with key resistance zones, with **175.632 and 178.814** as major upside targets.

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## **📈 Bullish Confirmation & Upside Potential:**
✅ Price is bouncing from a **strong support zone** 🚀
✅ A breakout above the **moving average (dynamic resistance)** could trigger further buying momentum
✅ **Risk-to-reward ratio** is favorable for a long setup

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## **🎯 Key Targets:**
🔹 **First target:** 170.000 (Psychological Level)
🔹 **Second target:** 175.632 (Major Resistance Zone)
🔹 **Final target:** 178.814 (Upper Fibonacci Extension Level)

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## **🔻 Risk Management:**
❌ **Stop-loss below** 165.059 to protect against further downside
❌ Avoid overleveraging & follow proper **risk-to-reward ratios**

Penafian

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