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Elliott wave analysis of EUR/JPY for December 28, 2018

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The ongoing correction from 125.33 has spiked above the 38.2% corrective target at 126.85 to a high of 127.09. We expect this correction to be near its completion for a final dip towards at least 124.89 and, ideally, closer to the long-term downside target for the wave (E) at 123.66.

In the short term, a break below support at 126.23 and, more importantly, a break below support at 125.98 will confirm the wave v is lowering towards 124.89 and below.

R3: 127.52

R2: 127.27

R1: 127.09

Pivot: 126.65

S1: 126.23

S2: 125.98

S3: 125.75

Trading recommendation:

Our stop at 127.05 was hit for a 100-pip profit. We will sell a break below 126.23.

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