Elliott wave analysis of EUR/JPY for June 18, 2020

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EUR/JPY failed to hold above short-term important resistance at 120.31. It means that the correction in red wave iv/ was still in motion and the 61.8% corrective target at 119.84 should be the target. Red wave iv/ is likely to test 119.84

and red wave v/ may rise higher to 125.77. We need a break above minor resistance at 120.53 to indicate that red wave v/ now is unfolding, while a break above resistance at 121.23 will confirm the impulsive rally in red wave v/.

R3: 121.23

R2: 120.77

R1: 120.53

Pivot: 120.29

S1: 120.00

S2: 119.80

S3: 119.61

Trading recommendation:

Our stop at 120.25 was hit for a loss, but we have re-bought EUR at 119.95 and will place our stop at 118.95 expecting to raise our stop soon.

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