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

Today's support and resistance levels:

R3: 1.5898

R2: 1.5888

R1: 1.5867

Current spot: 1.5828

S1: 1.5815

S2: 1.5796

S3: 1.5785

Technical summary:

We have seen a break above minor resistance at 1.5824 as the first strong indication, that wave 3 higher is unfolding, but we still need a break above resistance at 1.5867 to confirm that wave 3 higher is developing. A break above 1.5867 will confirm wave 3 higher towards at least 1.6188 and possibly even higher towards 1.6496. In the short term, only a break below 1.5692 will delay the expected upside pressure.

Trading recommendation:

We are long in EUR from 1.5725 with stop placed at 1.5690. If you are not long in EUR yet, then buy EUR near 1.5795 or upon a break above 1.5867 with the same stop at 1.5690.