EURJPY Technical Analysis Report 29 October, 2020

  • EURJPY broke key support level 122.40
  • Likely to fall to 121.00

EURJPY continues to fall under the effect of the safe-haven euro outflows into yen on the strengthening market expectation the coronavirus epidemic will cause more damage to the global economy and to the European economy in particular due to the re-introduction of stricter lockdowns in France and Germany. The active impulse wave C earlier broke the key support level 122.40 (which stopped wave A in September) and the 38.2% Fibonacci correction of the previous sharp upward impulse (1) from May.

EURJPY is expected to fall further toward the next support level 121.00 (standing close to the 50% Fibonacci correction of the aforementioned upward impulse wave (1)) – which is also the target price calculated for the termination of the active short-term downward impulse wave (iii).

Was this post helpful?