Elliott wave analysis of EUR/JPY for February 12, 2019

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After a day of range-trading, we are still looking for a break above minor resistance at 125.07 to confirm wave ii has completed and wave iii higher to 133.54 is developing.

That said, we need to be aware of the possibility of a deep corrective decline in wave ii as long as minor resistance at 125.07 is able to cap the upside. A break below support at 123.79 will call for a deeper corrective dip to 123.20 before wave ii should complete and wave iii higher will be ready to take over.

R3: 125.95

R2: 125.34

R1: 125.07

Pivot: 124.75

S1: 124.45

S2: 124.15

S3: 123.79

Trading recommendation:

We are long EUR from 124.65 with our stop placed at 123.70

The material has been provided by InstaForex Company - www.instaforex.com