FX.co ★ Technical analysis of EUR/JPY for October 20, 2014

General overview for 20/10/2014 10:15 CET

The first resistance level has been broken and price has made a higher high on the intraday chart. The most important level right now is the narrow supply zone between the levels of 137.77 - 137.94 and any breakout higher confirms further upward price progression in wave B black. On the other hand, it looks like the weekly pivot will play a key role in intraday developments and a possible bounce and rebound is expected on that level. Only a breakout below weekly pivot should be considered as intraday bearish.

Support/Resistance:

137.86 - WR1

137.77 - 137.94 - Supply Zone

136.99 - Intraday Resistance

136.45 - Intraday Support

135.99 - Weekly Pivot

135.27 - WS1

134.11 - Swing Low

Trading recommendations:

As long as the price trades above the level of 135.99 the intraday uptrend is intact and higher prices are expected here. Please notice that this is wave B in the making so trading conditions might get choppy but overall buying the dips is the way to trade this market.