FX.co ★ Elliott wave analysis of EUR/JPY for June 3, 2022

In our last update, we said that the ongoing correction had all options open. One of these options is that a flat correction could be unfolding and we are now banned to test the former peak at 140.04. The three-wave shape of wave X favours a top soon. A reversal towards the downside for a decline towards 130.22 in the weeks will follow.

Short-term, we need a break below support at 138.95 and more importantly a break below support at 138.19 to confirm the X-wave has been completed and the next corrective decline is in progress.