EUR/JPY continues to push lower. Now it is hovering just above the 78.6% corrective target seen at 120.68. We still consider the decline from 127.50 as corrective and we are looking for evidence that this correction has completed. The first solid evidence will be a breakout above minor resistance at 121.49, while a breakout above resistance at 122.26 will confirm that the wave 2 has completed and the wave 3 is developing above 127.50.
R3: 122.26
R2: 121.75
S1: 121.49
Pivot: 121.13
S1: 120.80
S2: 120.68
S3: 120.33
Trading recommendation:
We will buy EUR at 120.75 or upon a breakout above minor resistance at 121.49
