Elliott wave analysis of EUR/JPY and EUR/NZD for January 10 - 2014

(Please click on the charts to see them better)

EUR/JPY:

 

Today's Support and Resistance Levels:

R3: 143.52

R2: 143.17

R1: 143.03

Current Spot: 142.83

S1: 142.56

S2: 142.26

S3: 142.04

Technical Summary:

I still think we are in the very early parts of the powerful wave iii lower towards at least 136.43. That said, we need to see the downside challenged soon, otherwise the risk turns towards a slightly bigger correction as wave ii unfolding towards 143.52, which a break above 143.03 will confirm. However, a break below support at 142.56 will indicate renewed downside pressure for a decline towards 142.04 and lower towards 141.50 on the way lower towards 136.43.



EUR/NZD:

Today's Support and Resistance Levels:

R3: 1.6621

R2: 1.6575 - Important resistance. Low of red wave i.

R1: 1.6546

Current Spot: 1.6516

S1: 1.6483

S2: 1.6435

S3: 1.6397

Technical Summary:

The expanded flat scenario has worked well but as long as support at 1.6483 protects the downside we could see red wave c extend a little higher towards 1.6546 before red wave v takes over for a break below 1.6483 and more importantly a break below 1.6397 confirming red wave v lower towards 1.6200. Once red wave v and black wave (iii) is done we should see a new correction, but it should stay below the top of red wave iv.