Breakout above last swing high indicates that bullish impulsive wave progression has not been finished yet and count has been re-labeled slightly.
The bearish divergence on AO oscilator is clear and the current price action should be to the downside with the main focus on 142.16 level. If this level is broken, this would be first clue that the top is really in place. Further clue would be breakout below red channel line and the price return inside the channel area to test technical resistance level.
On the other hand, if 141.16 holds the top might be tested/broken again and wave (5) purple will get very extended.
Support/Resistance:
142.97 – WR1
142.80 – Intraday Resistance
142.16 – Intraday Support
141.00 – Techncial Support
140.70 – Weekly Pivot
Trading recommendations:
Range play after breakout is advised:
– if 142.16 is broken go short with SL above 143.00 and TP open for now.
– if 142.16 holds,go long on retrace with SL below 142.16 and TP at 142.80.
The material has been provided by InstaForex Company – www.instaforex.com
General overview for 13/12/2013 08:55 CET
Breakout above last swing high indicates that bullish impulsive wave progression has not been finished yet and count has been re-labeled slightly.
The bearish divergence on AO oscilator is clear and the current price action should be to the downside with the main focus on 142.16 level. If this level is broken, this would be first clue that the top is really in place. Further clue would be breakout below red channel line and the price return inside the channel area to test technical resistance level.
On the other hand, if 141.16 holds the top might be tested/broken again and wave (5) purple will get very extended.
Support/Resistance:
142.97 – WR1
142.80 – Intraday Resistance
142.16 – Intraday Support
141.00 – Techncial Support
140.70 – Weekly Pivot
Trading recommendations:
Range play after breakout is advised:
– if 142.16 is broken go short with SL above 143.00 and TP open for now.
– if 142.16 holds,go long on retrace with SL below 142.16 and TP at 142.80.
The material has been provided by InstaForex Company – www.instaforex.com
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