Wave summary:
EUR/JPY spiked just below the support at 134.83 for a low at 134.77 before turning higher again. We remain positive for EUR/JPY, expecting it to move closer to 137.37, but the rally from 109.48 is becoming stretched and a soon top should not come as a big surprise.
A break below 134.77 will be a good indication that wave (D) has peaked and wave (E) is expected to go lower to the ideal target of 123.43.
R3: 136.55
R2: 136.05
R1: 135.63
Pivot: 134.77
S1: 134.58
S2: 133.89
S3: 133.58
Trading recommendation:
We are long EUR from 134.10 with stop+revers placed at 134.75.
