FX.co ★ Elliott wave analysis of EUR/JPY for May 22, 2018

We continue to look for more downside pressure in wave d of the ongoing triangle consolidation. The ideal target for this d-leg is seen at 130.05. Once wave d is complete a final mini rally towards 130.65 is expected to complete the triangle consolidation and setting the stage for a final decline towards the ideal that near 125.32, with a possibility of an extension lower towards 123.33, but only time will show.

Short-term a break below minor support at 130.46 confirms the expected decline to 130.05 in wave d.

R3: 131.37

R2: 131.13

R1: 130.87

Pivot: 130.57

S1: 130.46

S2: 130.19

S3: 130.05

Trading recommendation:

We sold EUR at 130.73 and has placed our stop at 131.20.