FX.co ★ Elliott Wave analysis of EUR/NZD for March 19, 2013

Today's Support and Resistance levels:

S1: 1.5678 R1: 1.5773

S2: 1.5656 R2: 1.5838

S3: 1.5629 R3: 1.5917

Technical overview:

We are still looking for yesterday’s gap is closed. It means we are still looking for a rally higher towards 1.5776 as long as support at 1.5656 protects the downside. From 1.5776 or upon a break below 1.5656 we expect a new firm test of the triangle support near 1.5600 and a break below here confirms the downside thrust towards at least 1.5390 and likely even lower towards the ideal target near 1.5200. It will take a break above 1.5807 and, more importantly, a break above 1.5917 to invalidate our call for one last decline.

Trading recommendation:

We are looking for a new opportunity to sell EUR at 1.5765 or upon a break below 1.5656 with a stop at 1.5920.