FX.co ★ Elliott wave analysis of EUR/NZD for May 28, 2014

Today's Support and Resistance levels:

R3: 1.6179

R2: 1.6104

R1: 1.6058

Current spot: 1.6020

S1: 1.5978

S2: 1.5948

S3: 1.5907

Technical summary:

The correction from 1.5981 became slightly deeper than expected, but with a low at 1.5907 important support at 1.5905 was secured and we should now see a continuation higher towards strong resistance at 1.6179 and a break above here will confirm that a important long-term bottom is in place at 1.5744 for a rally towards 1.7274 and higher towards 1.9094 longer-term.

In the short term we should ideally see support at 1.5978 protecting the downside for a break above 1.6058 towards 1.6179.

Trading recommendation:

Stay short in EUR from 1.5858 and keep you stop at 1.5905. If you are not long in EUR yet, then buy near 1.5978 or upon a break above 1.6058 with the same stop at 1.5905.