EUR/JPY extended wave b to 128.94 before turning lower again. Short-term, we need a break below minor support at 128.10 to confirm that wave has completed and wave c lower to the long-term ideal target at 123.66 is developing.
Only an unexpected break above 129.05 will question our bearish count, but it will take a break above 129.37 to invalidate it all together and call for more upside towards 130.15
R3: 129.37
R2: 129.07
R3: 128.94
Pivot: 128.40
S1: 128.10
S2: 127.65
S3: 126.96
Trading recommendation:
We are short EUR from 128.05 with our stop placed at 129.15.