EUR/NZD Has come into an area of resistance confluence. I am not in this trade at the moment but I am monitoring it for a possible short entry.
NZD has been week for a few months now so I will need clear risk reward but this is an early warning of a potential change in trend. I have noticed the following points
1) At 1.66306 wave C = 3.618 Wave A
2) At 1.6612 wave i of C = wave v of C which is important as wave iii is extended. Normally wave i = wave v in this case
3) 1.6563 is the 78.6% retracement of the August 2013 High to the April 2015 low.
4) We are coming into the base of the monthly Ichimoku cloud
5) Bearish divergence is present between wave iii of C and wave v of C
I will post an update if I enter a trade. I also like short EUR/NZD due to the positive roll.
NZD has been week for a few months now so I will need clear risk reward but this is an early warning of a potential change in trend. I have noticed the following points
1) At 1.66306 wave C = 3.618 Wave A
2) At 1.6612 wave i of C = wave v of C which is important as wave iii is extended. Normally wave i = wave v in this case
3) 1.6563 is the 78.6% retracement of the August 2013 High to the April 2015 low.
4) We are coming into the base of the monthly Ichimoku cloud
5) Bearish divergence is present between wave iii of C and wave v of C
I will post an update if I enter a trade. I also like short EUR/NZD due to the positive roll.