Technical outlook and chart setups:
The EUR/JPY pair is seen to be trading at $113.75 levels at this moment, might be looking to push higher towards 114.00/50 levels, before reversing lower again. The wave structure indicates that EUR/JPY has formed major top at 121.90 levels earlier, and has also carved out a lower high at 118.50 levels as seen here. Furthermore, the pair has reversed lower from fibonacci 0.618 resistance levels of the drop between 122.90/122.00 through 109.00 levels respectively. At this moment the pair looks to be consolidating into wave 4, within its 3rd wave drop from 118.50 levels. It is hence recommended to remain flat for now and look to sell at higher levels around 114.00/50 levels. Immediate resistance is seen at 115.00 levels, while support is at 110.50 levels respectively.
Trading recommendations:
Remain flat for now. Look to sell around 114.00/50 levels, stop at 116.00, target below 112.00
Good luck!
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