Wave summary:

EUR/JPY failed to rally after the break above minor resistance at 123.64 indicating that a more prolonged zig-zag correction in red wave [ii] was unfolding. We are still expecting support at 122.61 will be able to protect the downside for a break above minor resistance at 123.78 confirming the next rally higher to 126.47 and above.

Should support at 122.61 be broken, that would indicate that wave [ii] is still developing, and a decline to 122.11 should be expected before the next rally higher.

Trading recommendation:

Our stop at 122.90 was hit for a loss. We will re-buy EUR here at 123.30 with stop placed at 122.60.