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EW Analysis: EURNZD Short Trade Setup
EURAUD declined impulsively and breaks below the key support zone.
According to the Elliot Wave theory, impulses show the direction of the larger trend and a three-wave correction follows every impulse.
In EURAUD's case, the retracement seems to take the form of an "a-b-c" zigzag pattern, if the correction has completed traders should expect more weakness to follow in the weeks ahead.
- The breach of the green line will confirm the correction is completed.
- Targets below wave (i) low is plausible the week ahead
What's your thought on EURAUD? Let me know in the comment.
According to the Elliot Wave theory, impulses show the direction of the larger trend and a three-wave correction follows every impulse.
In EURAUD's case, the retracement seems to take the form of an "a-b-c" zigzag pattern, if the correction has completed traders should expect more weakness to follow in the weeks ahead.
- The breach of the green line will confirm the correction is completed.
- Targets below wave (i) low is plausible the week ahead
What's your thought on EURAUD? Let me know in the comment.
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