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Elliott wave analysis of EUR/JPY for January 20 - 2020

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EUR/JPY corrected to a low of 122.04 (we expected a corrective dip to 122.15) before starting to turn higher again towards the ideal target near 123.84. In the short-term, a break above minor resistance at 122.44 will indicate more upside pressure towards 122.88 on the way higher to 123.35 and 123.84.

Only an unexpected break below support at 122.04 will call for an extended decline towards 121.46 and possibly lower to 120.25.

R3: 123.35

R2: 122.93

R1: 122.43

Pivot: 122.27

S1: 122.18

S2: 122.04

S3: 121.84

Trading recommendation:

Our stop at 122.40 was hit for a small profit of 15 pips. We will re-but EUR here at 122.27 with a stop at 122.00.

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