FX.co ★ Elliott wave analysis of EUR/JPY for July 22, 2021

The corrective decline from 134.12 has evolved into a more complex double zig-zag correction that likely completed with the dip to 128.59. Short-term we would like to see a break above minor resistance at 130.28 as the first good indication that the correction in wave 4/ has completed, while a break above resistance at 131.05 will confirm that wave 4/ has completed and wave 5/ of 3 is in motion towards 135.42 and maybe even above here, but for now our main focus remains on the minor resistance at 130.28 and a break above here to indicate wave 5/ is in motion.

Trading recommendation:

Buy a break above 130.28 and place your stop at 128.59