Elliott wave analysis of EUR/JPY for February 10, 2020

EUR/JPY has followed the expected path lower and should now stay below short-term key resistance at 120.56 for a continuation lower to 119.79 on the way towards the ideal target-zone between 118.85 -119.24 where we expect wave v of C of 2 to complete.

A break above short-term key resistance will indicate that a premature bottom has been found at 119.79 and the next impulsive rally already are in motion.

R3: 120.83

R2: 120.56

R1: 120.39

Pivot: 120.18

S1: 120.00

S2: 119.79

S3: 119.50.

Trading recommendation:

We sold EUR at 120.40 and we will move our stop+reverse lower to 120.65. We will take profit at 119.35