Elliott wave analysis of EUR/NZD for August 27, 2013
August 27, 2013 7:45 am
Today’s Support and Resistance levels:
R3: 1.7182
R2: 1.7143
R1: 1.7110
Current Spot: 1.7082
S1: 1.7042
S2: 1.6989
S3: 1.6936
Technical summary:
We have seen wave i from 1.6325 to 1.7197 of a new major impulsive rally. Currently, we are in wave ii correction, which ideally will correct 38.2% of wave i. That will call for a decline towards 1.6864. The reason why we are only looking for the minimum correction is a pace wave i is developing at. However, it should be noted that the second waves are allowed to correct 100% of the first wave, but they can never break the starting point of wave one. Once this wave ii correction is over we are looking for a new very powerful rally, at least, towards 1.7775, but it is more likely to extend towards 1.8314. As of now, we will stay focused on the possible termination of wave ii.
Trading recommendation:
Stay short on EUR from 1.7100 with a stop at 1.7185. Take profit + reverse the short position to a long position at 1.6875.
The material has been provided by InstaForex Company – www.instaforex.com
Today’s Support and Resistance levels:
R3: 1.7182
R2: 1.7143
R1: 1.7110
Current Spot: 1.7082
S1: 1.7042
S2: 1.6989
S3: 1.6936
Technical summary:
We have seen wave i from 1.6325 to 1.7197 of a new major impulsive rally. Currently, we are in wave ii correction, which ideally will correct 38.2% of wave i. That will call for a decline towards 1.6864. The reason why we are only looking for the minimum correction is a pace wave i is developing at. However, it should be noted that the second waves are allowed to correct 100% of the first wave, but they can never break the starting point of wave one. Once this wave ii correction is over we are looking for a new very powerful rally, at least, towards 1.7775, but it is more likely to extend towards 1.8314. As of now, we will stay focused on the possible termination of wave ii.
Trading recommendation:
Stay short on EUR from 1.7100 with a stop at 1.7185. Take profit + reverse the short position to a long position at 1.6875.
The material has been provided by InstaForex Company – www.instaforex.com
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