FX.co ★ Technical analysis of EUR/JPY for June 30, 2014

General overview for 30/06/2014 11:30 CET

The impulsive wave progression that has started last week is still possible, but not confirmed yet. Currently, the price has made a possible first two waves of the impulsive structure and now it is trying to break higher above the weekly pivot at the level of 138.43. If that happens, the price would enter the range zone and it might take a test of the technical resistance again at the level of 138.91. Only if this level is broken, the impulsive count is a valid one and traders should expect higher prices. Otherwise, the price might get back to the bearish zone and continue lower or make wave (b) blue even more complex and time consuming. Please watch the important levels for further clues.

Support/Resistance:

139.89 - WR3

139.40 - WR2

139.89 - WR1

139.91 - Technical Resistance

138.48 - Intraday Resistance

138.43 - Weekly Pivot

137.92 - Intraday Support

137.89 - WS1

137.69 - Wave b Low

137.40 - WS2

Trading recommendations:

Please keep an eye on both important invalidation/confirmation levels I have indicated on the chart. A breakout above 138.47 is bullish and long positions should be opened; a breakout below 137.90 is bearish and short positions should be opened.