Elliott wave analysis of EUR/JPY for April 21 – 2017

Wave summary:

Minor support at 116.45 protected the downside, which called for a direct extension higher to 117.99 (the peak of wave iii/ has been seen at 117.82). and a correction in wave iv/ is now unfolding toward 116.52 before higher again towards 119.35 to complete wave i.

It’s possible to count the rally from 114.82 as a complete five-wave rally at 117.82 and if this is the case, we should still look for a slightly deeper correction, that will overlap with the top of wave i/ at 115.88 closer to 115.82 before turning higher again.

R3: 117.82

R2: 117.40

R1: 117.25

Pivot: 117.00

S1: 116.95

S2: 116.63

S3: 116.52

Trading recommendation:

We are long EUR from 115.25 with a stop placed at 114.75. If you are not long EUR yet, then buy near 116.55 and start by using the same stop expecting to move it higher soon.

The material has been provided by InstaForex Company – www.instaforex.com

Source:: Elliott wave analysis of EUR/JPY for April 21 – 2017