FX.co ★ Elliott wave analysis of EUR/JPY for February 6 - 2017

Wave summary:

As long as support at 120.50 continue to protect the downside, we will be looking for a break above minor resistance at 122.03 and more importantly a break above resistance at 122.99 that confirms more upside towards 126.54 to complete wave 3.

However, if support at 120.50 gives away, it will extend the correction in wave (iv) lower towards 119.14 before wave (v). We should expected the rally higher towards 126.54.

R3: 122.52

R2: 122.03

R1: 121.76

Pivot: 121.05

S1: 120.99

S2: 120.50

S3: 120.20

Trading recommendation:

Our stop at 121.90 was hit for a small profit. We are looking to buy a break above 121.76.