? EUR/JPY Breaking Wizz 7 Zone and 120 Round Resistance ?

Dear traders,

the EUR/JPY is building a triangle pattern in a large uptrend. Price was able to break above the Wizz 7 target. This indicates that an uptrend continuation is likely.

EUR/JPY

1 hour chart

The EUR/JPY uptrend is clear when reviewing the moving averages (MAs): all of them are bullish aligned. Price has used the 21 ema zone (high & low) several times as a bouncing spot. The current triangle pattern could indicate another continuation. The wave count also suggests a potential wave 4 and wave 5 continuation (purple).

The main obstacle is the 120 round resistance level. Price will need to break that zone before a continuation towards Wizz 8 at 121 becomes feasible. The 176.4% Fib target at 120.25 could also cause a small pullback. A failure to break 120 could also indicate a larger pullback. But price remains in an uptrend as long as price stays above support (green box). A break below it invalidates the uptrend (red x).

The analysis has been done with SWAT method (simple wave analysis and trading).

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Good trading,
Chris Svorcik
Elite CurrenSea