05.03.201417:13 Forex Analysis & Reviews: Technical analysis of EUR/JPY for March 5, 2014

General overview for 05/03/2014 15:00 CET

The gap has been filled and now the market is trading in a red channel between the lintraday resistance at the level of 140.76 and intraday support at the level of 140.44. The wave progression indicates a possible top for wave b green and more downside price action is anticipated at the moment. The first clue will be the red channel break out to the downside and weekly pivot test. If the weekly pivot is broken, then the next support will be provided by golden trend line and in case of failure here market suppose to be trading even lower. The target level is the same so far and it is 61%Fibo at the level of 138.14.

Support/Resistance:

141.10 - 141.26 - Supply zone | Key Level |

140.76 - Intraday resistance

140.44 - Intraday support

139.87 - Weekly pivot

139.60 - Golden trend line support

138.80 - Wave (a) low

138.66 - WS1

138.14 - 61%Fibo

Trading recommendations:

Still short positions should be preffered and it's a good place to open a sell order at the level of 140.44 with SL above 141.31 and TP at the level of 139.87 and 139.60 with a possible extension down to 138.14 in days to come.