FX.co ★ Elliott wave analysis of EUR/JPY for March 19, 2014

Today's Support and Resistance levels:

R3: 141.87

R2: 141.58

R1: 141.48

Current spot: 141.40

S1: 141.08

S2: 140.74

S3: 140.45

Technical summary:

The X wave from 136.23 became more complex than first expected, but it most likely ended with the test of 143.79 and the second zig-zag correction lower is likely developing. In the short-term, we will likely see a decline in red wave v towards the 139.79-140.20 area to end the first small impulsive decline from 143.79. This first impulsive decline should be followed by a minor correction higher towards 142.00 and maybe even a little higher towards 142.40 before the next impulsive decline lower towards at least 136.46.

Trading recommendation:

Sell EUR at 141.90 with a stop at 143.80.