EUR/JPY - 120.86
Recent wave: Wave 3 was completed to 105.44 and vague ii takes place
Trend: Down
Original strategy:
Buy 118.80, target: 120.35, Stop: 118.20
New strategy:
Buy 120.35, target: 122.30, Stop: 119.70
Although the violation of the euro for the correction of high 123.33 resistance ended when 116.49, as the price fell 121.84, withdrawal prior to 120.39 resistance cannot be excluded, however, the 120.39 signals believe 119.80/85 must organizelater make another place. A break of resistance said would encourage additional gain to 122.25/30 but over here, it is necessary to confirm upmove resumed for a possible retest of 123.33. We wish our slightly optimistic count that wave ii is still unfolding as ABC-X-ABC and 2nd leg may be completed at 123.33 with a: 115.56, b: 121.09 and c: 123.33.
In view of this, we seek to buy euro on dips. Elements below 119.70 would defer and weakness may low 119.38 and then 119.00 yesterday, but this week, low 118.50 would hold, provide another place later.
Our privileged account is that the fall in prices 139.26 are wave c and are subdivided into (a): 127.00, (b) 138.49 and wave (c) started from there with a vague diagonal 1 (i: 126.95, ii: 134.37, iii: 120.70)(, iv: 125.24, then the wave v at 119.66). The rebound of 127.95 119.66 was an a-b-c 2 wave and wave 3 is 127.95 with the minor wave, I finished by to 105.44. Correction of wave ii started 105.44 and possibly develops in a complex correction ABC-X-ABC with the first series of ABC ended at 116.00 (A: 115.68, B: 106.83 and C: 116.00), followed by vague 106.50 x.
On the overview, we treat the 169.97 as wave A rally, then bond 169.97 (July 2008) to 112.08 vague is (A) (b) instead of the end of any wave (b) and then the rebound from here, to 139.26 vague is (B)., therefore, wave (C) congratulated away with vague minor 1 ends at 119.66 and wave 2 to 127.95. (C) wave of b should be limited to 105.00 and psychological support to 100.00 must remain intact.