FX.co ★ Technical analysis of EUR/JPY for August 5, 2014

General overview for 05/08/2014 08:30 CET

The market is slowly moving lower to enter the neutral zone, just under the weekly pivot at the level of 137.54. To confirm the bearish outlook, the price must break lower into the bearish zone and both technical and intraday support levels must be violated. On the other hand, any violation of the level of 138.01 invalidates the bearish impulsive wave development. In that case, the next level of resistance is weekly pivot at the level of 138.44.

Support/Resistance:

138.44 - WR1

138.01 - Intraday Resistance | Invalidation Level|

137.54 - Weekly Pivot

137.41 - Intraday Support

137.32 - Technical Support

137.04 - WS1

Trading recommendations:

Short orders opened yesterday should still be kept open as long as the level of 138.01 is not violated. TP is at the level of 137.32 but it might get extended down to the level of 137.04 and beyond.