FX.co ★ EUR/JPY H1 analysis for August 19, 2013

General overview for 19/08/2013 13:00 CET

Impuslive bearish count has been invalidated as the price has made new high.

A lack of momentum is very common thing during the summer trading days, so the last five wave structure might be described as Expanding Ending Diagonal Wave (v) of (c). Please notice that any price above 132.00 will invalidate impulsive bearish count completley.

On the other hand, to confirm more weakness, price must break below Weekly Pivot level @ 129.76 and then break out of the intraday grey rectangle support area @ 129.39 - 129.49. Next support for this scenario would be Technical Support level at 128.91.

As long as there is no new high above 132.00 bias is still to the downside and beraish divergence supports this view.

Support/Resistance:

127.96 - 128.22 - DEMAND ZONE

128.91 - Technical Support

130.57 - 130.72 - Intraday Support

131.09 - 78%Fibo

131.49 - 88%Fibo

131.56 WR1

131.85 - 132.04 - SUPPLY ZONE

132.49 - WR2

Tradinig recommendations:

As long as there is no new high intraday shorts sholud be in play due to higher time frames unfinished bearish cycles.

Entry pont at 131.09 with SL above 132.04 andf TP1 at 130.72, TP2 130.43.

Second entry point at 131.49 with SL 132.04 andf TP1 at 130.72, TP2 130.43.