Elliott wave analysis of EUR/JPY for February 17, 2014
February 17, 2014 8:10 am
Today’s Support and Resistance levels:
R3: 140.07
R2: 139.69
R1: 139.42
Current spot: 139.31
S1: 138.95
S2: 138.68
S3: 138.17
Technical summary:
The price behavior is still not convincing, but as we approach the decision point we will soon see a clarification, whether we shall see an impulsive red wave (iii) decline or whether we are in wave B of a flat correction. As long as resistance at 140.07 stays intact we will look for a break below support at 138.68 confirming that red wave (iii) lower towards 131.93. Only a break above resistance at 140.07 invalidates the downside pressure and will call for a rally higher towards at least 143.17 and likely even closer to 145.69 in a flat correction.
Trading recommendation:
Stay short in EUR from 140.00 and keep your stop+revers at 140.10. If you are not short EUR yet, then sell upon a break below 138.68 with the same stop at 140.10. Alternativly buy EUR upon a break above 140.07 with a stop at 138.65.
The material has been provided by InstaForex Company – www.instaforex.com
Today’s Support and Resistance levels:
R3: 140.07
R2: 139.69
R1: 139.42
Current spot: 139.31
S1: 138.95
S2: 138.68
S3: 138.17
Technical summary:
The price behavior is still not convincing, but as we approach the decision point we will soon see a clarification, whether we shall see an impulsive red wave (iii) decline or whether we are in wave B of a flat correction. As long as resistance at 140.07 stays intact we will look for a break below support at 138.68 confirming that red wave (iii) lower towards 131.93. Only a break above resistance at 140.07 invalidates the downside pressure and will call for a rally higher towards at least 143.17 and likely even closer to 145.69 in a flat correction.
Trading recommendation:
Stay short in EUR from 140.00 and keep your stop+revers at 140.10. If you are not short EUR yet, then sell upon a break below 138.68 with the same stop at 140.10. Alternativly buy EUR upon a break above 140.07 with a stop at 138.65.
The material has been provided by InstaForex Company – www.instaforex.com
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