Elliott wave analysis of EUR/NZD for April 5, 2018

We continue to look for a final spike lower to near 1.6650 to complete the corrective price-action since the 1.7130. Support at 1.6650 should be able to turn prices higher in wave iii for a rally to above resistance at 1.7130 confirming more upside towards 1.7540 and above.

That said, the alternate count calls for a more substantial decline closer to 1.6220 in wave (ii). So we have to be aware of this possibility too. Even if this count proves correct, it will not change the long-term trend higher, but just delay the expected rally higher.

R3: 1.6920

R2: 1.6876

R1: 1.6832

Pivot: 1.6775

S1: 1.6755

S2: 1.6690

S3: 1.6650

Trading recommendation:

We will remain sidelined for now.

The material has been provided by InstaForex Company – www.instaforex.com

Source:: Elliott wave analysis of EUR/NZD for April 5, 2018