EUR/JPY has broken key-support at 120.14 which has forced us back to the drawing-board, looking for alternate counts. The best count shows that the correction in wave 2 is larger, than first expected and we only are in wave c of 2 and not in the early start of wave 3 higher as we originally expected.
This means more downside pressure towards support in the 118.85 - 119.24 zone should be expected. We are likely close to the low of wave iii near 119.75 and should expected a minor corrective rally towards 120.97 before the final dip into the 118.85 - 119.24 target-zone.
R3: 120.97
R2: 120.60
R1: 120.41
Pivot:120.29
S1: 119.90
S2: 119.75
S3: 119.50
Trading recommendation:
Our stop at 120.10 has been hit and we will step aside for now.
