FX.co ★ Technical analysis of EUR/JPY for July 17, 2014

General overview for 17/07/2014 11.10 CET

The downward impulsive wave progression is unfolding as anticipated and the marked has entered the bearish zone. The intraday key level for bears is the price zone between the levels of 137.48 - 137.62, that will be acting as a technical resistance level. Please, notice that the market is on the level of weekly pivot support and at the level of equal legs geometry, which can be a further clue that the last wave to the downside is now completed. This would mean all the five waves now are in place and an upside corrective cycle might be in progress soon.

Support/Resistance:

136.67 - WS2

137.17 - WS1

137.48 - 137.62 - Technical resistance |key level |

138.00 - weekly pivot

Trading recommendations:

All swing and day traders that had open sell positions should close them now or use the trailing stop in case the last wave 5 purple would be an extended one. In that case, the target would be at the level of 136.67.