FX.co ★ EUR/JPY H1 analysis for October 29, 2013

General overview for 29/10/2013 09:00 CET

Yesterday, Irregular Flat correction that should end somewhere into SUPPLY zone did not materialse, and the high of this move up was labeled as wave c green.

Currently, the wave progression is far from impulsive, so it looks like a Triangle formation in wave (b) navy will be formed, before further downside movement.

There are two waves missing to complete this Triangle pattern. The high for wave (b) should not be above the 134.93 level.

Possible target level for wave e green of (b) navy is just above the Weekly Pivot. If this level is broken, next one is SUPPLY zone.

Two possible ending for wave (b) of the Triangle are in the charts.

Support/Resistance:

135.48 - Swing High

135.08 - 135.16 - SUPPLY ZONE

134.93 - Intraday High

134.59 - Weekly Pivot

134.52 - Intraday Resistance

133.88 - Intraday Support

133.69 - WS1

133.60 - Technical Support

Trading recommendations:

Short at the level of 134.78 with SL above 134.94 and TP at 133.03

OR

Short at the level of 135.08 with SL above 135.17 and TP at 133.03.