Elliott wave analysis of EUR/NZD for October 24, 2016
October 24, 2016 7:37 am
EUR/NZD – Daily
EUR/NZD – 4-Hourly
Wave summary:
Here too the correction from 1.5764 has been very deep (as is the case for EUR/JPY). This of course makes us a bit cautious, but then we know, that second waves are allowed to correct 100% of the first impulsive wave. It means a decline to 1.4989 is allowed, but at no point can a break below 1.4989 be accepted as that will invalidate our bullish count. So we continue to expect important support at 1.4989 will protect the downside for a break above minor resistance at 1.5292 indicating more upside towards 1.5523 and above towards 1.5764 and 1.6396.
A break below 1.4989 will invalidate the bullish outlook, but the downside should remain limited to 1.4891.
Trading recommendation:
We are long EUR from 1.5285 with stop placed at 1.4985. If you are not long EUR yet, then buy a break above 1.5292 and use the same stop at 1.4985.
The material has been provided by InstaForex Company – www.instaforex.com Source: Instaforex.com
EUR/NZD – Daily
EUR/NZD – 4-Hourly
Wave summary:
Here too the correction from 1.5764 has been very deep (as is the case for EUR/JPY). This of course makes us a bit cautious, but then we know, that second waves are allowed to correct 100% of the first impulsive wave. It means a decline to 1.4989 is allowed, but at no point can a break below 1.4989 be accepted as that will invalidate our bullish count. So we continue to expect important support at 1.4989 will protect the downside for a break above minor resistance at 1.5292 indicating more upside towards 1.5523 and above towards 1.5764 and 1.6396.
A break below 1.4989 will invalidate the bullish outlook, but the downside should remain limited to 1.4891.
Trading recommendation:
We are long EUR from 1.5285 with stop placed at 1.4985. If you are not long EUR yet, then buy a break above 1.5292 and use the same stop at 1.4985.
The material has been provided by InstaForex Company – www.instaforex.com
Source: Instaforex.com
Related Posts: