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Elliott wave analysis of EUR/NZD for November 7, 2016

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EUR/NZD - Daily

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EUR/NZD - 4 Hourly

Spiked lower to 1.5008 in early Far East trading hours. The break below 1.5066 has forced us to change our short term count slightly and move the low of wave (ii) to the 1.5008 low. We still favor that the September low at 1.5006 will continue to act as a floor for the next impulsive rally higher.

That said, we have some major hurdles to cross before we can say with confidence that the long-term corrective low has been seen. First we need to see a break above minor resistance at 1.5225 and more importantly a break above resistance at 1.5454 that will secure the 1.5006 low for now.

Trading recommendation:

Our stop at 1.5060 was hit. We will re-buy EUR on a break above 1.5225 and place our stop at 1.5000.

The material has been provided by InstaForex Company - www.instaforex.com