Elliott wave analysis of EUR/JPY for May 13 - 2020

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EUR/JPY has finally bottomed. After a minor pull-back to the 115.32 - 115.61 area we can see a new strong rally through resistance at 116.86 and more importantly through resistance at 117.77 for a rally back to at least 122.88 and in the longer-term all the way back to the February 2018 peak at 137.50.

The decline from February 2018 to the low at 114.37 has been a double zig-zag correction and the final decline from the beginning of 2020 has been extremely complex. Presently, we can look forward to a more clear-cut price-movements.

R3: 117.24

R2: 116.86

R1: 116.40

Pivot: 116.16

S1: 115.90

S2: 115.61

S3: 115.32

Trading recommendation:

We will buy EUR at 115.65 or upon a break above resistance at 116.86

The material has been provided by InstaForex Company - www.instaforex.com