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09.05.2013 10:39 AM
Elliott wave analysis of EUR/JPY for May 9, 2013

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Today's support and resistance levels:

R3: 131.62

R2: 131.12

R1: 130.37

Current Spot: 129.84

S1: 129.72

S2: 129.32

S3: 128.98

Technical overview:

We have seen a test of important resistance at 130.37, but not yet been able to break above this resistance. However, we think that it is just a matter of time before we see this break for a continuation higher towards the top of wave 3 at 131.12 and higher towards 131.62. Our target for this wave 5 is near 135.42. In the short term we expect minor support at 129.72 to protect the downside for the a break above 130.03 that indicates a new test of important resistance at 130.37.

Trading recommendation:

We long EUR from 127.30 and move our stop higher to 128.95. If you do not have long EUR positions, then buy near 129.72 or a break above 130.03 with the same stop.

Summary
Urgency
Analytic
Torben Melsted
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