Technical outlook and chart setups:
The EURJPY pair is seen to have dropped lower as discussed and expected earlier and is trading at $113.38 levels at this moment. Please note that the pair has reversed lower from 114.00/10 levels as expected. The wave structure indicates that EURJPY has formed major top at 121.90 levels earlier, and has also carved out a lower high at 118.50 levels as seen here. Furthermore, the pair has reversed lower from fibonacci 0.618 resistance levels of the drop between 122.90/122.00 through 109.00 levels respectively. At this moment the pair looks to have terminated wave 4, within its 3rd wave drop from 118.50 levels. It is hence recommended to remain short now with risk above 115.00 levels. Immediate resistance is seen at 115.00 levels, while support is at 110.50 levels respectively.
Trading recommendations:
Remain short now, stop above 115.00, target is open.
Good luck!
