FX.co ★ Elliott wave analysis of EUR/NZD for May 26, 2014

Today's Support and Resistance levels:

R3: 1.6043

R2: 1.6021

R1: 1.5980

Current spot: 1.5965

S1: 1.5947

S2: 1.5907

S3: 1.5892

Technical summary:

A series of waves one and two have been building and we should soon see a powerful break above resistance at 1.6021 for a rally towards 1.6179 and higher in the longer term. In the short term we would like to see support at 1.5947 to protect the downside for a break above minor resistance at 1.5980 and more importantly above resistance at 1.6021 confirming the next impulsive rally higher towards 1.6179.

Trading recommendation:

Stay long in EUR from 1.5858 and move your stop higher to 1.5905 upon a break above 1.5980. If you are not long in EUR yet, then buy after a break above 1.5980 with the same stop at 1.5905.