FX.co ★ Elliott wave analysis of EUR/JPY for July 23, 2014

Today's support and resistance levels:

R3: 137.00

R2: 136.73

R1: 136.60

Current spot: 136.55

S1: 136.45

S2: 136.25

S3: 136.09

Technical summary:

Look for a move slightly lower to 136.09 to end blue wave v and set up a correction back to just below the top of blue wave iv at 137.34. From just below 137.34, we will be looking for the next part of the decline 135.49.

The ideal long-term target for this decline is at 134.34, where wave C is equal in length to wave A.

Trading recommendations:

We are short in EUR from 138.95 and will take profit at 136.15. Stop is moved lower to 136.65. If you are not short in EUR yet, then wait for the opportunity to sell near 137.34.