FX.co ★ EUR/JPY H1 Analysis for October 16, 2013

General overview for 16/10/2013 08:45 CET

The green abc Irregular Flat corrective cycle wave (ii) is done UNLESS it is the first leg of the correction.

So far, in this intraday time frame three upward legs are done, so there is still a possibillity of one more lover leg down. This is why alternate labeling of the low of wave (ii) green has alt:(iii) label there. To invalidate the scenario of a this last lower wave down, the price can not break below brown line level.

Break out above wave b green high will confirm further strength.

Break out below Weekly Pivot level will expose lower DEMANC ZONE level to be tested.

Support/Resistance:

133.98 - DEMAND BREAKTHROUGHT ZONE

133.82 - Intraday High

133.34 - Intraday Resistance

132.72 - Weekly Pivot

132.64 - 38.6%Fibo

132.45 - Lowel DEMAN ZONE level

131.89 - WS1

Trading recommendations:

As correction has ended bias is to the upside so long positions are favouired.

For intraday scalp the entry level is at 132.95 with tight SL and potential TP at 133.34 and beyond.