Elliott wave analysis of EUR/NZD for August 30, 2013
August 30, 2013 6:45 am
Today’s Support and Resistance levels:
R3: 1.7144
R2: 1.7095
R1: 1.7066
Current Spot: 1.7033
S1: 1.7005
S2: 1.6968
S3: 1.7005
Technical summary:
With a break below 1.6996 we knew that wave ii had not finished yet and that it was expanded flat correction (the top of wave b ended higher than the top of wave a and the bottom of wave c was lower than the low of wave a). An impulsive rally that follows expanded flat correction will be an extended wave, so once wave ii is finished we should expect a very powerful ascending wave iii. In the short term, we are looking for a decline towards 1.6989 and, maybe, even lower – towards 1.6912 as long as resistance at 1.7066 and more importantly resistance at 1.7095 protects the upside. However, a break above 1.7095 indicates that wave c of the expanded flat correction is in place and wave iii has taken over for a rally, at least, to 1.7166 and more likely higher towards 1.7274.
Trading recommendation:
Our stop at 1.6985 was hit. Look for a new EUR-buying opportunity near 1.6912 or after a break above 1.7066 (one done order cancels another).
The material has been provided by InstaForex Company – www.instaforex.com
Today’s Support and Resistance levels:
R3: 1.7144
R2: 1.7095
R1: 1.7066
Current Spot: 1.7033
S1: 1.7005
S2: 1.6968
S3: 1.7005
Technical summary:
With a break below 1.6996 we knew that wave ii had not finished yet and that it was expanded flat correction (the top of wave b ended higher than the top of wave a and the bottom of wave c was lower than the low of wave a). An impulsive rally that follows expanded flat correction will be an extended wave, so once wave ii is finished we should expect a very powerful ascending wave iii. In the short term, we are looking for a decline towards 1.6989 and, maybe, even lower – towards 1.6912 as long as resistance at 1.7066 and more importantly resistance at 1.7095 protects the upside. However, a break above 1.7095 indicates that wave c of the expanded flat correction is in place and wave iii has taken over for a rally, at least, to 1.7166 and more likely higher towards 1.7274.
Trading recommendation:
Our stop at 1.6985 was hit. Look for a new EUR-buying opportunity near 1.6912 or after a break above 1.7066 (one done order cancels another).
The material has been provided by InstaForex Company – www.instaforex.com
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