FX.co ★ Elliott wave analysis of EUR/JPY for January 28, 2019

EUR/JPY bottomed at 123.75 and then started rallying. The break above minor resistance at 124.65 told us, that wave ii had completed and wave iii higher to 132.12 now is in motion.

Short-term, we could see minor wave ii dip slightly lower to 124.65, but it should just be a matter of time before the next impulsive rally pushes EUR/JPY higher towards 127.10 and 128.29 on the way higher towards 132.12.

R3: 126.93

R2: 125.95

R1: 124.97

Pivot: 124.65

S1: 124.16

S2: 123.75

S3: 123.37

Trading recommendation:

We bought EUR at 124.65 and we have placed our stop at 123.70.