FX.co ★ Elliott wave analysis of EUR/JPY for September 16, 2016

Wave summary:

The trading range is narrowing consistently and we know that times like these is followed by high volatility. As long as minor support at 113.90 and more importantly support at 113.11 is able to protect the downside, we will remain cautious bullish for a break above 116.37 confirming a rally to 118.47 and 122.00.

Only a break below 113.11 will shift the preferred count towards the alternative triangle count.

Trading recommendation:

We are long EUR from 114.70 with stop placed at 113.85. If you are not long EUR yet, then look to by a break above 115.45 and use the same stop at 113.85