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Elliott wave analysis of EUR/JPY for June 7, 2017

analytics59378f1e2a5d4.png

Wave summary:

A decline to 122.91 has been seen, but important short-term support at 122.53 remains untouched favoring the larger triangle consolidation unfolding. Under this count, we should now see a rally towards 124.92 in wave d and then a final dip in wave e to complete the triangle consolidation to set the stage for a rally in wave C higher towards at least 134.62.

A break below important short-term support at 122.53 will change the corrective pattern and favor a decline closer to 121.67 and maybe even down to 120.32 to complete wave B.

R3: 124.39

R2: 123.85

R1: 123.55

Pivot: 123.25

S1: 122.90

S2: 122.53 - Important support

S3: 121.98

Trading recommendation:

Our stop at 123.05 was hit for a loss. We will buy a break above 123.55 with stop placed at 122.85 and take profit at 124.75.

The material has been provided by InstaForex Company - www.instaforex.com