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Technical analysis of EUR/JPY for August 29, 2014

General overview for 29/-8/2014 14:30 CET


Unfortunately, there is something else going on than a simple downward impulsive wave development. It looks like the corrective cycle is going to be more complex and time-consuming. Due to invalidation of several important rules, the current count has been updated and the bearish impulsive count has been cancelled. According to the new labeling, the are chances that after the downside failure the higher prices will be seen as the corrective cycle is not completed. The current labeling is WXY brown complex triple three structure in red wave 2 and there is one more wave to the upside missing to complete the correction.


Support/Resistance:


136.87 - Intraday Support


137.28 - Intraday Resistance


137.42 - Weekly Pivot


137.98 - Technical Resistance


Trading recommendations:


The short orders opened at the beginning of this week should be closed and traders should refrain from trading until a clear pattern emerges.


eurjpy_h1.jpgThe material has been provided by InstaForex Company - www.instaforex.com