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25.05.2012 10:37 AM
EUR/JPY Short-Term Up, Then Down Below 97.00 - Technical Analysis and Trading Recommendation

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Technical Outlook and Chart Setups:

It is now clear that the fall from the 111.00 level could materialize in 5 waves downstructure, hinting a new low below the 97.00 level. A bounce is required now, as depicted above, in the form of a second wave within the 5 waves down. We expect prices to reach between 102.00 and 103.00 as represented by the channel above, before heading south below 97.00.

Trading Recommendations:

1. Short Term Aggressive: Buy now at 99.95, stop 98.80, target 102.00 and 103.00.

2. Long Term Conservative: Sell between 102.00 and 103.00, target below 97.00

 

Good Luck!

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