FX.co ★ Elliott wave analysis of EUR/JPY for September 14, 2015

Technical summary:

A strong rally of 132.19 has continued. Now, it is testing the 70.7% corrective target at 137.02 (the high has been 137.05). This rally is extremely stretched and the correction towards at least 135.60 and likely even lower to 134.80 should be expected soon. In the short term, a break below minor support at 136.41 will be the first indication of a top being in place for a decline to 135.60.

Trading recommendation:

We will sell a break below 136.41 with stop placed at 137.10 and place take profit for 50% at 135.65