FX.co ★ EUR/JPY H1 analysis for December 16, 2013

General overview for 16/12/2013 10:00 CET

Five impulsive waves to the downside has been made in recent price development. The structure starts to look like a potential Head-and-Shoulders price formations is being developing and the KEY AREA is a potential right shoulder termination zone. If this area is broken to the upside, then a test of the recent 4 year's high is in view. Otherwise, impulsive continuation to the downside is expected. Iflevel of 140.90 is broken and at least H1 candle is closed below it the this is first weak top confirmation.

Support/Resistance:

143.81 - WR2

142.80 - 4 year's High

142.63 - WR1

142.15 - 141.90 - KEY AREA | Right Shoulder Termination Zone |

141.77 - Weekly Pivot

141.21 - Intraday Support

140.90 - Technical Support

140.70 - WS1

140.02 - Technical Support

139.87 - WS2

Trading recommendations:

For a swing trade - sell orders into KEY AREA zone with SL just above it and potential TP1 at 140.90 and TP2 at 140.00