Technical analysis of EUR/JPY for March 30, 2016
General overview for 30/03/2016:
The supply zone has been violated, but the market looks weak at the current levels. However, the wave progression inside this upward structure does not look too impulsive so far; it is more like a zig-zag structure. If the market breaks below the intraday support at the level of 126.45, bears will be in control over this market. Nevertheless, the alternative count suggests that the correction might be complex and time-consuming, but it cannot violate the 123.07 level. If it does, the alternative count will be in play. This suggests more downward wave progression towards the 122.06 level.
Support/Resistance:
127.45 - Intraday Resistance
127.42 - WR1
127.09 - 127.26 - Supply Zone
126.45 - Intraday Support
126.04 - Weekly Pivot
125.54 - WS1
124.67 - Local Low
124.18 - WS2
123.69 - WS3
123.07 - Green Impulsive Cycle Invalidation Level
Trading recommendations:
Day traders should put trailing stop loss orders on long positions from the 123.00 area that is still in play and wait for the market's reaction at the supply zone. Any breakout higher might be another impulsive wave development towards the level of 128.18.
The material has been provided by InstaForex Company - www.instaforex.com
