FX.co ★ Elliott wave analysis of EUR/JPY for February 5, 2018

Wave summary:

We have seen the expected rally to 137.37 (the high has been seen at 137.50). This is more than enough to fulfill the target for the wave (D), and we should expect the wave (E) to take over for a decline to 123.43 anytime now. A break below minor support at 136.64 will be the first good indication that the wave (D) has completed and the wave (E) is developing, while a break below support at 135.93 will be needed to confirm the expected decline in the wave (E).

R3: 138.11

R2: 137.50

R1: 137.20

Pivot: 136.64

S1: 136.23

S2: 135.93

S3: 135.66

Trading recommendation:

We sold EUR at 137.30 and we will place our stop at 137.60.