FX.co ★ Elliott wave analysis of EUR/NZD for April 23, 2014

Today's Support and Resistance levels:

R3: 1.6180

R2: 1.6135

R1: 1.6085

Current spot: 1.6073

S1: 1.6045

S2: 1.6000

S3: 1.5956

Technical summary:

Wave d of the triangle consolidation is currently unfolding. We will ideally see resistance at 1.6122 protect the upside for a break below support at 1.6045 confirming the next part of the decline towards 1.5936 and maybe even lower towards 1.5908, before the final e wave takes over for a rally towards 1.6015. When this triangle consolidation finally comes to an end, we will be looking for a thrust out of the triangle to the downside for a move closer to the ideal target near 1.5536.

Trading recommendation:

Stay short in EUR from 1.6049 with a stop and reverse at 1.6185. If you are not short in EUR yet, then sell near 1.6100 with the same stop and reverse at 1.6185.