Since March the New Zealand Dollar has strengthened to the US Dollar by about 30 percent. During this strong rally the price has created a potential Elliott wave pattern. It consists of five waves which are usually typical for the impulse structure.
What is more, the current potential fifth wave has reached possible targets. They are set by the upper limit within a channel drawn through the lows of waves 2 and 4 and through the top of wave 1 and by the 100 percent Fibo expansion of wave 1.
If these two strong resistance levels hold, we may expect a corrective movement with the first possible target at the line drawn through the lows. Also, recent highs at 0,6800 may set a target for a potential corrective movement.
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Daniel Kostecki, Chief Analyst Conotoxia Ltd.
Materials, analysis and opinions contained, referenced or provided herein are intended solely for informational and educational purposes. Personal opinion of the author does not represent and should not be constructed as a statement or an investment advice made by Conotoxia Ltd. All indiscriminate reliance on illustrative or informational materials may lead to losses. Past performance is not a reliable indicator of future results.
81% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
What is more, the current potential fifth wave has reached possible targets. They are set by the upper limit within a channel drawn through the lows of waves 2 and 4 and through the top of wave 1 and by the 100 percent Fibo expansion of wave 1.
If these two strong resistance levels hold, we may expect a corrective movement with the first possible target at the line drawn through the lows. Also, recent highs at 0,6800 may set a target for a potential corrective movement.
________
Daniel Kostecki, Chief Analyst Conotoxia Ltd.
Materials, analysis and opinions contained, referenced or provided herein are intended solely for informational and educational purposes. Personal opinion of the author does not represent and should not be constructed as a statement or an investment advice made by Conotoxia Ltd. All indiscriminate reliance on illustrative or informational materials may lead to losses. Past performance is not a reliable indicator of future results.
81% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.