FX.co ★ Elliott Wave analysis of EUR/NZD for November 13, 2013

Today's Support and Resistance levels:

R3: 1.6488

R2: 1.6429

R1: 1.6387

Current spot: 1.6338

S1: 1.6302

S2: 1.6223

S3: 1.6113

Technical summary:

With the break above 1.6422 we have had to change our count slightly. Instead of a one-two/one-two count we have to assume, that red wave i has become the extended wave and we should now look for wave iii and v to be smaller wave of nearly the same size. The ideal target for this correction is still the same at 1.5525.

In the short term a break below 1.6302 will indicate that red wave ii is over for a decline towards 1.5913 and lower towards 1.5822 before a small flat correction should be expected. However, as long as support at 1.6302 protects the downside we could see more upside first, but the odds for this outcome is not the best.

Trading recommendation:

Sell EUR upon a break below 1.6302 with a stop at 1.6390. Take profit should be placed at 1.5550.