FX.co ★ EUR/JPY H1 analysis for September 4, 2013

General overview for 04/09/2013 09:00 CET

The pair is still consolidating in the range defined as wave 4 triangle, and upside breakout is expected in last minor impulsive wave that is targeting at the 131.74 - 131.87 area. If this area is broken, then the test of the recent high is in view.

The first resistance level is Weekly Pivot Resistance at 131.45 and then the golden trend line resistance ahead.

Please, notice the bearish divergence still helps to support this point of view.

Only a new high invalidates the count.

Support/Resistance:

129.26 - 129.40 - DEMAND ZONE

130.37 - Weekly Pivot

130.56 - Technical Support

130.93 - Intraday Support

131.22 - 61%Fibo

131.45 - WR1

131.74 - 131.88 - Demand Breakthrough Area

132.41 - Swing High

Trading recommendations:

For intraday scalp:

- the first long positions at the level of 131.43 breakout with tight SL and TP at 131.74

-then short positions from the entry area of 131.74 - 131.87 with SL just above it and TP1 at 131.45 and TP2 at 130.93.