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Elliott wave analysis of EUR/JPY for October 19, 2017

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Wave summary

Make it or Break it - EUR/JPY is now sitting just below important resistance at 133.49, this resistance will need to cap the upside to confirm more downside pressure towards 127.80. Short-term a break below minor support at 133.05 will be the first good indication that the corrective rally from 131.64 has completed and a new decline to here and below should be expected.

If, however important resistance at 133.49 is cleared then more upside to 133.83 should be expected, but it could revive wave D for a move closer to 137.37.

R3: 134.41

R2: 134.24

R1: 133.83

Pivot: 133.49

S1: 133.05

S2: 132.69

S3: 132.20

Trading recommendation:

Our short position from 132.65 was closed at break-even. We will sell EUR here at 133.35 and place stop+revers at 133.55.

The material has been provided by InstaForex Company - www.instaforex.com