Elliott wave analysis of EUR/NZD for October 12, 2018
It’s still unclear whether blue wave ii completed with the test of 1.7719 and blue wave iii higher to 1.8030 and 1.8369 is developing. Or a more complex correction is developing in blue wave ii.
The minor rally from 1.7719 to 1.7882 does look impulsive, it was just a bit shorter than we normally would expect. On the other hand, this is also the reason, why we are concerned as all options remain wide open.
A break above resistance at 1.7851 will favor the bullish view, while a break below 1.7734 will favor the a more complex correction unfolding.
We will buy a break above resistance at 1.7851 and place our stop at 1.7715