Monday, 24 June 2013

Elliott Wave analysis of EUR/JPY for June 24, 2013 Trend News


Today's Support and Resistance levels:


R3: 129.91


R2: 129.70


R1: 129.38


Current spot: 128.08


S1: 128.71


S2: 128.42


S3: 128.14


Technical overview:


The falling channel resistance line has now been tested three times and held. Normally, this is a signs of strength and could indicate a very strong downside pressure soon. As we are looking for wave c lower, a strong downside pressure would make sense in our eyes. In the short term we are looking for a break below 128.61 as the first indication that renewed downside pressure is taking over. While a break below 128.14 is needed to confirm that yet another top is in place and wave c lower towards at least 124.96 is in progress. However, the risk is still a break above 129.90, which will open up for a move towards 131.31 and likely also higher towards the top at 133.81, in a much more complex correction.


Trading recommendation:


We are short EUR from 128.20 with a stop at 129.95. If you are not short EUR, we will recommend selling upon a break below 128.61 with the same stop at 129.95.


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



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