NZDUSD Daily Key Reversal at Elliott Channel
Prepared by Jamie Saettele, CMT
Similar to the AUDUSD, a 4th wave interpretation of the decline from 8470 is valid. The combination of support from the Elliott channel / 38.2% retracement of the rally from 7460 and daily key reversal (today) portend a bullish resolution in the coming weeks. Supports are 8175, 8145 and even 8110. The next few days are vulnerable to choppy conditions, if for no other reason than to clear a market saturated with weak hands that chased US session strength (on Thursday). ). If the presented count is correct however, then this is one the best buying opportunities of the year. KEEP RISK TO 8060 as failure of the bullish structure would probably trigger sharp losses.
Bottom Line (next 5 days) – higher
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