Elliott Wave Analysis: NZDUSD Is Recovering into Wave C); 0.700 Area Is Expected!


NZDUSD made a nice five-wave move within wave A), the first leg of a bigger, three-wave recovery, and later it made a deep three-wave pullback as seen on the chart. We can see that a zig-zag correction had played out on the pair and found support at the lower Elliott wave triangle line.

We are talking about a potential support because we can see how the price is sharply rising from the mentioned zone. Remember, a clear, five-wave rally, in this case, means that the bigger correction can be completed and that a bullish continuation is here. As such more upside may be expected to follow towards wave C), to around the 0.709/0.716 region.


On the 4h chart, we have a closer look at current recovery from the 0.647 area, where a previous EW leading diagonal had unfolded. The current sharp rally is impulsive, which means that trend is going to continue to the upside. That said, be aware of temporary pullbacks, which may show up during this rise; we are talking about a minor wave iv, that can retrace the pair towards the 0.660/0.657 region.


Get the 5 most predictable currency pairs

About Author

Grega Horvat Grega is based in Slovenia and has been involved in markets since 2003. He is the owner of Ew-Forecast, but before that he was working for Capital Forex Group and TheLFB.com. His feature articles have been published on FXstreet.com, Thestreet.com, Action forex, Forex TV, Istockanalyst, ForexFactory, Fxtraders.eu, Insidefutures.com, etc. He recently won the award on FXStreet.com for Best Forex Analysis in 2016. At Ew-forecast he helps clients and educates them about the Elliott wave principle and how to label and track unfolding patterns in real time. His approach to the markets is mainly technical. He uses a lot of different methods when analyzing the markets such as candlestick patterns, MA, technical indicators etc. His specialty, however, is Elliott Wave Theory which could be very helpful especially if you know how to use it in combination with other tools/indicators. EW-Forecast To be involved in the market effectively, you need the right guidance and resources, and our team can help you to achieve that. Our team is providing advanced informations about Elliott Wave theory in real time. The Elliott Wave Principle gives you a method for identifying the behavior of the markets and at what points the market is most likely to turn. We help new traders who are interested in Elliott Wave theory to understand it correctly. We are doing our best to explain our views as simple as possible with educational goal, because knowledge itself is power!

Comments are closed.