FX.co ★ EUR/JPY H1 analysis for August 15, 2013

General overview for 15/08/2013 09:30 CET:

The price is currently testing critical intraday support zone at 129.71 - 129.95. The current price action is full of whipsaws, that is typical for a corrective cycle, not for an impulsive cycle.

A lack of impulsive wave progression to the downside puts alternate count more probable now: this means new high is possible if golden trend line is broken. Nevertheless, the immediate target for alternate wave (v) is still at 130.79 level and price should get rejected from this level.

On the other hand, no trend line break will expose the 129.71 level for another test, and if this level gets broken, then next support for price is Weekly Pivot at 129.17.

Support/Resistance:

127.99 - 128.22 - DEMAND ZONE

128.91 - Intraday Support

129.17 - Weekly Pivot

129.71 - Technical Support | Wave a Low |

129.71 - 129.95 - Intraday Support Zone

130.65 - Intraday High

130.79 - Wave (v) Target Projection

Trading recommendations:

If golden trend line is broken - long positions should be in play with tight SL and potential TP @ 130.79.

If golden trend line is not broken - short positions should be in play with SL above the recent high and potential TP @ 129.71