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Elliott wave analysis of EUR/JPY for October 25 - 2019

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The correction in red wave ii continues to play out as expected. The correction has become more complicated and should eventually move lower to our ideal target at 119.87 before completing the correction and turn back up towards 124.64 and 129.50. In the long term, it is likely to grow higher if strong resistance near 129.50 has been overcome.

In the short-term, a break below minor support at 120.36 should lead to a final dip closer to our ideal target at 119.87 before moving higher again.

R3: 121.47

R2: 121.30

R1: 120.85

Pivot: 120.71

S1: 120.36

S2: 119.87

S3: 119.53

Trading recommendation:

WE are long EUR from 117.25 with our stop placed at 119.00. If you are not long EUR yet, then buy EUR near 120.00 for the next impulsive rally towards 124.64

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