FX.co ★ Elliott Wave analysis of EUR/NZD for February 4, 2013

Today's Support and Resistance levels:

S1: 1.6043 R1: 1.6185

S2: 1.5971 R2: 1.6279

S3: 1.5936 R3: 1.6359

Technical overview:

Ideally important support at 1.6043 will protect the downside for a break above minor resistance at 1.6158 confirming the next rally higher towards 1.6279 and 1.6359. In the long term we are looking for this blue wave iii is reached 1.6518, where it will be 1.618 time longer than blue wave i. However, a break below 1.6043 will question this scenario and cause a decline towards 1.5936, but it will take a break below 1.5750 to invalidate our count and call for a much deeper decline.

Trading recommendation:

We will buy EUR here at 1.6115 with a low risk stop at 1.6035.