Mizuki32

EURJPY: Final upthrust expected

Long
FX:EURJPY   Euro / Japanese Yen
186 views
5
I would like to long "EURJPY" because the price is likely to make new high after consolidation.
Technical analysis:
1) Price is moving in wave (C)-4 of flat correction (A)-(B)-(C).
2) Price displays alternation between subwaves 2 and 4.
- subwave 2: sharp correction (more than 78.6% retracement of wave 1)
- subwave 4: sideways correction (at least 23.6% retracement of wave 3)
3) 14-day slow stochastic oscillator shows positive correlation with the price action.
- Crossing back above the oversold 20 line can be used as a buy signal.
4) Price is above the cloud. The picture is still bullish . Thicker cloud should provide great support.

Profit target and stop loss:
1) I would like to make long position within the range of 23.6%-38.2% retracement level.
2) Profit target: 50% retracement level of previous downtrend located at 125.
3) Stop loss: slightly below support level located at 118.5 (the end of wave (A)).
- It also lines up with Senkou-Span B. I believe these support levels should perform well.

Let's see how it goes!
Comment: 4H chart: