FX.co ★ Technical analysis of EUR/JPY for Febuary 10, 2016

General overview for 10/02/2016:

The intraday resistance level was violated yesterday, but the market wasn't strong enough to follow the breakout. Moreover, the three-wave corrective cycle labeled as abc purple looks completed now and the market might be ready for rally. Nevertheless, it is worth to mention, that this corrective cycle might still get a little more complex and time-consuming. The first clue of the market trend resuming will be a breakout above the level of 130.25 towards the golden trend-line resistance.

Support/Resistance:

132.66 - WR2

132.32 - Local High

131.32 - WR1

130.66 - Weekly Pivot

130.03 - Intraday Resistance

129.34 - WS1

128.20 - Intraday Support

128.76 - WS2

127.29 - WS3

Trading recommendations:

The buy orders from yesterday should still be kept open (SL below 128.20, TP open for now). We still expect the market to go upwards as an impulsive structure does not look completed and the important bottom seems to be in place as well.