FX.co ★ Technical analysis of EUR/JPY for September 29. 2014

General overview for 29/09/2014 09:45 CET
The key reference level is still the blue impulsive count invalidation line at the level of 138.25. Any breakout lower is bearish and even the swing low at the level of 135.90 might be tested. On the other hand, according to the main count, the price might just have done a first important breakout out of the falling wedge pattern as the corrective cycle in wave -ii- blue looks completed. If it is so, then the price should start immediate impulsive wave progression to the upside without breaking the level of 138.25. A lack of such a pattern will question the current main count and make the alternative labeling more appealing, but not yet confirmed.

Support/Resistance:
141.20 - Swing High
140.79 - WR2
140.20 - Technical Resistance
139.56 - WR1
139.07 - Intraday Resistance
138.96 - Weekly Pivot
138.52 - Intraday Support
138.25 - Blue Impulsive Count Invalidation Line

Trading recommendations:
Swing traders and day traders should consider opening buy positions from current price level with SL below the level of 138.25 and longer term TP at the level of 140.21 with a possible extension up to the level of 141.21.