FX.co ★ Elliott wave analysis of EUR/JPY for January 12, 2018

Wave summary:

EUR/JPY is following our projected path to perfection. We are looking for a corrective rally from 133.09 higher into the resistance-area between 134.82 to 135.25 from where the next decline should be seen below 133.09 with the next downside target seen near 131.30.

In the larger picture, we saw the completion of wave (D) at 136.67, just below the ideal target at 137.37 and wave (E) is now developing for a decline towards 123.43 as its ideal target.

R3: 135.25

R2: 134.82

R1: 134.40

Pivot: 133.65

S1: 133.21

S2: 133.09

S3: 132.51

Trading recommendation:

Our stop at 133.95 was hit for a nice little profit of 80 pips. We will sell EUR again at 134.75.