Trade # 29: EUR/JPY Long

I am going long EUR/JPY @ 122.50 and 120.15, stop @ 117.90. My target will be 127 and up. If both entries get filled, I will close one around 127 and the the other run for longer term.

Notice that only 4 waves have completed from the 141.73 top. I think one more down wave is necessary to complete this downtrend. Completing this wave would also finish a larger 5-wave downtrend from 169.96. One more low is necessary to washout the last bit of longs before a rally. This would also create divergences on the oscillators.

I am not sure where Wave-v will end, so I am placing two entries in between the range which I expect will contain price. There is a HUGE confluence of support at 118-120:
  • 119.60-70: 61.8% fib of the move from 88.94-->169.96
  • 119.60-119.80: previous resistance highs
  • 118.41: Wave5 =Wave1 (Wave1 is 169.96-->147.01, Wave5 is 141.73-->now)
  • 118.16: Wave5 = .618*(Wave1-->3)
  • 122.15: Wave-v = .618*Wave-i
  • 118.83: Wave-v = Wave-i

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