FX.co ★ Elliott wave analysis of EUR/JPY for November 10, 2021

We see a clear overlap between wave i/ and wave iv/ which means there is only one option if we are in an impulsive wave 5/ towards 135.42 and that is an ending diagonal. If this is the case, then we should see wave iv/ complete soon for the final rally higher towards 135.42 to complete wave 5/ and 3.

That said, we could have seen wave 3 complete with the test of 134.12 in mid-June and everything since then has been part of a complex wave 4 correction. If this count is the correct count, then a dip to at least 129.30 should be expected and maybe even closer to 127.45 before wave 4 is complete and wave 5 is ready to take over for a rally well past the wave 3 peak at 134.12