EUR/JPY rose to just above the resistance level at 126.02 (the high was seen at 126.46) to complete wave i and set the stage for a correction in wave ii. We expect this wave ii to correct towards 125.18 and maybe even closer to support near 124.82 and set the stage for the next impulsive rally in wave iii towards 128.60 and likely even closer to 129.23.
R3: 126.46
R2:125.94
R1: 125.66
Pivot: 125.54
S1: 125.36
S2: 125.18
S3: 124.82
Trading recommendation:
We are long EUR from 124.41 and we have our stop placed at 124.35. This is the best possible time to enter a long position in EUR as a break below 124.37 tells us that our count was incorrect. So we see a well defined stop for a long EUR-position.