General overview for 14/05/2014 08:20 CET

The market has reversed in an impulsive manner from the level I indicated yesterday. Currently, it is consolidating in a small range area between the intraday resistance at the level of 140.32 and intraday support at the level of 139.96. The downside breakout is expected below the low of 139.90, but some minor intraday upside rally can happen up to the level of the intraday resistance. Please notice that if the level of 139.90 is broken, then there is no support until the level of 139.25 is hit. This would be a good 65-pip sell opportunity.

Support/Resistance:

142.27 - Wave 2 red high

141.35 - WR1

140.96 - 141.06 - Supply Zone

140.02 - Key Level

140.61 - Weekly Pivot

140.32 - Intraday Resistance

139.92 - Intraday Support

139.90 - Wave (iii) green low

139.25 - Wave 5 red target

Trading recommendations:

Swing traders should still keep short positions open as the current impulsive wave progression to the downside has not been finished yet. Daytraders should open sell stop orders from the level of 139.88 with SL above the level of 140.51 and TP at the level of 139.25 with a possible downside extension.