FX.co ★ Elliott wave analysis of EUR/JPY for January 7, 2020

EUR/JPY is moving higher again towards the next minor upside target 127.72 and ultimately closer to 129.06. Support is now seen at 126.05 which should be able to protect the downside as EUR/JPY continues higher towards the 129.06 target.

An unexpected break below 126.05 will delay the expected rally higher and call for a re-test of strong support near 124.95 before turning higher again.

R3: 128.06

R2: 127.72

R1: 127.30

Pivot: 126.78

S1: 126.49

S2: 126.05

S3: 125.71

Trading recommendation:

We are long EUR from 126.25 and we have move our stop higher to 126.00