Technical Analysis of EUR/JPY for March 29, 2016
General overview for 29/03/2016:
The market has hit the supply zone between the levels of 127.09 - 127.26. However, the wave progression inside of this upward structure does not looks too impulsive so far, more like a zig-zag structure. If the market breaks below the intraday support at the level of 126.45, the 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, which suggests more downward wave progression towards the 122.06 level.
Support/Resistance:
126.42 - WR1
126.09 - 126.26 - 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 the long positions from the 123.00 area that are 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
