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Technical analysis of EUR/JPY for September 22, 2014

General overview for 22/09/2014 09:45 CET


The corrective cycle that had started after the swing high at the level of 141.22 was could belong to one of two possible wave progressions: the first one is an impulsive purple count with the invalidation line at the level of139.16 and the second one is larger degree blue impulsive count with the invalidation line at the level of 138.25. Although the bias remains bullish, traders need to wait for a trading range to be broken to draw more important conclusions about further wave developments.


Support/Resistance:

141.22- Swing High|WR1|

140.20 - Intraday Resistance

139.84 - Weekly Pivot

139.67 - Intraday Support

139.16 - Purple Impulsive Count Invalidation Level

138.46 - WS1

138.25 - Blue Impulsive Count Invalidation Level

137.12 - WS2


Trading recommendations:

It looks like there is one wave to the downside missing. So, day traders should consider opening sell orders from the current price levels with SL above the level of 140.21 and TP below the level of 139.16.


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