FX.co ★ Elliott wave analysis of EUR/JPY for August 30, 2013

Today's Support and Resistance levels:

R3: 131.37

R2: 131.04

R1: 130.56

Current spot: 130.02

S1: 129.88

S2: 129.65

S3: 129.24

Technical summary:

The price action was very slight. The pair traded sideways in a narrow range between 129.64 - 130.56. As long as the minor resistance at 130.56 protects the upward move, we can see one last decline closer to important support near 129.24. However, after a break upwards above resistance at 130.56 from this area we should see a powerful thrust out of the triangle to the upside for a rally towards our next major target at 139.21. In the longer term, we look for much higher levels near 170.00.

Trading recommendation:

Stay long in EURJPY from 130.25 with a stop at 127.85. If you are not long yet, then buy after a break above 130.56 with the same stop at 127.85.