FX.co ★ Elliott wave analysis of EUR/JPY for June 12, 2020

The correction in red wave iv has been much deeper than expected and has been much more straight forward (a zig-zag correction), than expected. This likely means, that the peak at 124.43 only was red wave iii/ and not red wave v/ and the peak of black wave iii/. This means that more upside should be expected in red wave v/ towards 125.77 before black wave iii/ is complete.

This final impulsive rally in red wave v/ could be another swift one, so stay tuned. A break above 121.82 confirms the completion of the correction and the onset of the next impulsive rally towards 125.77.

R3: 122.26

R2: 121.82

R1: 121.43

Pivot: 121.08

S1: 120.87

S2: 120,56

S3: 120.23

Our stop at break-even (121.85) has of course been hit. We will re-buy EUR at 120.90 or upon a break above 121.42