FX.co ★ Elliott Wave analysis of EUR/NZD for December 20, 2013

Today's Support and Resistance levels:

R3: 1.6756

R2: 1.6694

R1: 1.6659

Current Spot: 1.6626

S1: 1.6597

S2: 1.6569

S3: 1.6517

Technical summary:

We are still looking for the final rally in blue wave v higher towards 1.6869 to end the leading diagonal. Once we have seen 1.6869 tested we should see a correction lower towards 1.6569. That said, we have to be aware of the possibility of blue wave v already being in place with the high set at 1.6807. If this is the case, the next rally will break right through resistance at 1.6869 for a continuation towards 1.7239. Only time will tell, which scenario is the correct one.

Trading recommendation:

Stay long EUR from 1.6715 with your stop at 1.6560. If you are not long EUR already, then buy a break above 1.6658 with the same stop at 1.6560.