29.07.201414:41 Forex Analysis & Reviews: Technical analysis of EUR/JPY for July 29, 2014

General overview for 29/07/2014 13:30 CET

Corrective cycle of green wave (ii) is in progress as anticipated. Invalidation line for this cycle is at the level of 137.25. The price is still staying under the golden trendline level and under intraday resistance at the level of 137.33. Only a clear, sustained breakout higher above the level of 137.25 would invalidate a simple abc purple corrective scenario. In that case, the next resistance level would be at the grey rectangular technical resistance zone between the levels of 137.49 - 137.63. Nevertheless, the bias is still bearish as long as this level is not cleared.

Support/Resistance:

136.23 - WS1

136.36 - Wave 1 Low

136.62 - Intraday Support

136.78 - Weekly Pivot

136.92 - Intraday Resistance

137.25 - Invalidation Level

137.21 - WR1

137.32 - Intraday Resistance

137.50 - 137.63 - Key Level for Bears

Trading recommendations:

Day traders should consider to open short orders from the level of 136.95, with SL above the level of 137.25 and TP at the level of 136.23 with a possible downside extension.