FX.co ★ Technical analysis of EUR/JPY for June 14, 2016

General overview for 14/06/2016:

The last wave to the downside labeled as wave (c) blue looks like a classic zig-zag structure that might end the overall corrective pattern on the higher time frames. The growing bullish divergence between the price and momentum oscillator supports the bullish outlook. Nevertheless, it is worth mentioning a zig-zag structure might evolve into a double zig-zag structure, so more time might be consumed during this pattern developing. The key intraday level that might confirm the bottom is in place is the intraday resistance at the level of 120.31.

Support/Resistance:

118.15 - WS2

118.98 - Intraday Support

119.23 - WS1

120.31 - Intraday Resistance

120.95 - Weekly Pivot

122.02 - WR1

123.74 - WR2

Trading recommendations:

All swing traders should get ready to close their long-term sell orders as the market is approaching a possible reversal zone.