FX.co ★ Elliott wave analysis of EUR/NZD for February 27, 2014

Today's Support and Resistance levels:

R3: 1.6567

R2: 1.6520

R1: 1.6462

Current spot: 1.6448

S1: 1.6413

S2: 1.6342

S3: 1.6305

Technical summary:

The failure to break above resistance at 1.6538 has kept the wave 2 correction alive and we have seen a continuation lower towards 1.6428. The break below minor support at 1.6445 has opened up for a decline closer to the 61.8% corrective target at 1.6413, before wave 2 is over. In the short term only a break above minor resistance at 1.6520 indicates that wave is already over and wave 3 higher towards 1.7141 is developing.

Trading recommendation:

We are long in EUR from 1.6510 with stop placed at 1.6210. If you are not long in EUR yet, then buy close to 1.6413 or upon a break above 1.6520 with the same stop at 1.6210.