EUR/JPY - Bear-trap sprung and indicates a ending diagonal has completed

EUR/JPY - Bear-trap sprung and indicates a ending diagonal has completed 

In my June 3 post (you can see it by clicking here), my final words was "I don't feel very comfortable about the downside and do think the downside is very limited, so please don't become overly bearish this cross and this time as a low can be found anytime now". 

Well that warning seem to be justified by the failure to build at the break below 121.46. In fact, I think that this was a nice bear-trap and that an ending diagonal has terminated at the 120.80 low and a quick return to the origin of the ending diagonal at 128.22 should be expected.

More importantly a break above the ending diagonal resistance-line near 123.80 will confirm that the long term correction from 149.56 finally has come to an end and a new impulsive rally finally can begin, with the first larger target being the 141.06 resistance.

Only a failure to break above the resistance-line near 123.80 and break back below 120.80 revives the 117.95 - 118.20 target, but that seems pretty unlikely to happen.  

Hani
2014-06-06
I have been a fan of you blog for several years!
I am so impressed at your renewal.
Elliott wave analysis is so difficult to me, but so interesting and useful.

Thank you
Hani
Duane
2014-05-27
Hi EWS,

Just wanted to send a word of thanks for all of the hard work that you
do, and to show you that I personally have paid for my subscription many
times over with the fantastic work that you...
Tommy
2015-02-26
Great call on nat gas

Just wanted to drop you a note to say great call on nat gas as it held 2.67

Great job.

Tommy