EUR/JPY is in a minor correction from 121.10 preparing for a new impulsive rally higher towards the key-resistance at 122.12. A break above here will confirm that wave 2 has been completed. It is likely to test 119.41 and wave 3 is in motion for an ultimate break above the peak at 124.43.
In the short-term, we are looking for a break above minor resistance at 120.75 to confirm this minor correction is completed and the rally to 122.12 is unfolding.
R3: 122.12
R2: 121.58
R1: 121.23
Pivot: 120.75
S1: 120.19
S2: 119.88
S3: 119.60
Trading recommendation:
We are long EUR from 119.95 and we have our stop placed at 119.35.
