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13.05.2014 12:30 PM
Elliott wave analysis of EUR/NZD for May 13, 2014

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Today's support and resistance levels:

R3: 1.6179

R2: 1.6059

R1: 1.5990

Current spot: 1.5928

S1: 1.5920

S2: 1.5860

S3: 1.5820

Technical summary:
We are locked in a range, which is best described as "no man's land". As the underlying downtrend still has not been reversed, we will keep looking for a clues of a continuation lower towards 1.5765 and possibly even towards 1.5653. That said the rally of the 1.5860 low could be the start of a new uptrend, but to confirm that outcome a break above minor resistance at 1.6179 and more importantly a break above resistance at 1.6285 is needed. A break above 1.6285 will call for a new rally towards 1.6787 and higher.

Trading recommendation:
We are long EUR as our stop and reverse order was hit at 1.6125 and we have placed our stop at 1.5865. Only buy EUR upon a break above resistance at 1.6179 with the same stop.

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