FX.co ★ Elliott Wave analysis of EUR/NZD for March 11, 2013

Today's Support and Resistance levels:

S1: 1.5800 R1: 1.5883

S2: 1.5754 R2: 1.5934

S3: 1.5718 R3: 1.6024

Technical overview:

We are still looking for a B-wave triangle to end soon for a break below 1.5800 and, more importantly, a break below 1.5718, which confirms that wave e of the triangle ended at 1.5874 and red wave c down close to 1.5200 is developing. That said, a break above the triangle green wave c at 1.5934 will invalidated the expected decline and call for a new rally higher towards 1.6024 and higher towards 1.6359.

Trading recommendation:

We are short EUR from 1.5858 with a stop at 1.5940. If you are not short EUR already, then sell a break below 1.5800 and, more importantly, sell a break below 1.5718 with the same stop.