Elliott wave analysis of EUR/JPY for September 15, 2014
September 15, 2014 11:10 am
Today’s support and resistance levels:
R3: 139.48
R2: 139.28
R1: 139.18
Current spot: 138.94
S1: 138.75
S2: 138.55
S3: 138.44
Technical summary:
Red wave i from 135.80 has likely ended at 139.18. So, we should now look for a correction in red wave ii towards the area for wave four of red wave i. the area of wave four of red wave i will be found between the levels 137.66 – 138.17 and will likely halt the correction in red wave ii. That said we will have to remember, that second waves are allowed to correct 100% of the first wave, but never can break the origin of the first wave. Once red wave ii is over we will be looking for red wave iii higher towards 143.19. We are looking for a bullish rally higher, but a break above resistance at 143.79 is needed to confirm a new long-term impulsive rally higher.
Trading recommendation:
We bought EUR at 135.95 and will move our stop higher to 137.50. If you are not long in EUR already, then buy EUR near 138.17 with the same stop at 137.50.
The material has been provided by InstaForex Company – www.instaforex.com
Today’s support and resistance levels:
R3: 139.48
R2: 139.28
R1: 139.18
Current spot: 138.94
S1: 138.75
S2: 138.55
S3: 138.44
Technical summary:
Red wave i from 135.80 has likely ended at 139.18. So, we should now look for a correction in red wave ii towards the area for wave four of red wave i. the area of wave four of red wave i will be found between the levels 137.66 – 138.17 and will likely halt the correction in red wave ii. That said we will have to remember, that second waves are allowed to correct 100% of the first wave, but never can break the origin of the first wave. Once red wave ii is over we will be looking for red wave iii higher towards 143.19. We are looking for a bullish rally higher, but a break above resistance at 143.79 is needed to confirm a new long-term impulsive rally higher.
Trading recommendation:
We bought EUR at 135.95 and will move our stop higher to 137.50. If you are not long in EUR already, then buy EUR near 138.17 with the same stop at 137.50.
The material has been provided by InstaForex Company – www.instaforex.com
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