Elliott wave analysis of EUR/NZD for October 9 – 2014
October 9, 2014 11:45 am
Today’s support and resistance levels:
R3: 1.6132
R2: 1.6107
R1: 1.6086
Current spot: 1.6045
S1: 1.6032
S2: 1.6000
S3: 1.5977
Technical summary:
Our call for another decline to support at 1.5978 has proved correct. The question now is whether support at 1.5978 will be able to protect the downside for a new rally or this support will be broken for a deeper correction towards 1.5800? We think support at 1.5978 will be able to protect the downside, but to confirm this outcome, we should see a rally from 1.5978 to back above 1.6132 confirming a new test of 1.6269 on the way higher. However, if support at 1.5978 is broken and more importantly support at 1.5949 is broken then we should be looking for a move closer to 1.5800 before the next impulsive rally higher. However, if support at 1.5949 is broken, then the rally to 1.6446 can not be wave iii, but will have to be a wave i of one lessor degree.
Trading recommendation:
We will re-buy EUR at 1.5985 with a stop at 1.5940.
The material has been provided by InstaForex Company – www.instaforex.com
Today’s support and resistance levels:
R3: 1.6132
R2: 1.6107
R1: 1.6086
Current spot: 1.6045
S1: 1.6032
S2: 1.6000
S3: 1.5977
Technical summary:
Our call for another decline to support at 1.5978 has proved correct. The question now is whether support at 1.5978 will be able to protect the downside for a new rally or this support will be broken for a deeper correction towards 1.5800? We think support at 1.5978 will be able to protect the downside, but to confirm this outcome, we should see a rally from 1.5978 to back above 1.6132 confirming a new test of 1.6269 on the way higher. However, if support at 1.5978 is broken and more importantly support at 1.5949 is broken then we should be looking for a move closer to 1.5800 before the next impulsive rally higher. However, if support at 1.5949 is broken, then the rally to 1.6446 can not be wave iii, but will have to be a wave i of one lessor degree.
Trading recommendation:
We will re-buy EUR at 1.5985 with a stop at 1.5940.
The material has been provided by InstaForex Company – www.instaforex.com
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