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Elliott wave analysis of EUR/JPY for January 4 - 2018

analytics5a4db4a7e6438.png

Wave summary:

EUR/JPY spiked just below the support at 134.83 for a low at 134.77 before turning higher again. We remain positive for EUR/JPY, expecting it to move closer to 137.37, but the rally from 109.48 is becoming stretched and a soon top should not come as a big surprise.

A break below 134.77 will be a good indication that wave (D) has peaked and wave (E) is expected to go lower to the ideal target of 123.43.

R3: 136.55

R2: 136.05

R1: 135.63

Pivot: 134.77

S1: 134.58

S2: 133.89

S3: 133.58

Trading recommendation:

We are long EUR from 134.10 with stop+revers placed at 134.75.

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