FX.co ★ Technical analysis of EUR/JPY for August 7, 2014

General overview for 07/08/2014 07:50 CET

The target level anticipated yesterday has been hit and even extended due to a brief flash crash on yen pairs. Now, the market is in a corrective cycle. Currently, the count indicates that a first wave of the correction is done and only a breakout below the level of 136.83 is the confirmation of this view. Please, notice that the shape of the correction may vary as the market is in green wave B of the corrective cycle.

Support/Resistance:

136.14 - WS2

136.83 - Intraday Support

137.04 - WS1

137.15 - Intraday Resistance

137.33 - Technical Resistance

Trading recommendations:

Day traders should refrain from trading and wait for the news later in the day.