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Tuesday, December 15, 2020

Elliott Wave Analysis of NZD/USD - Peaking, time for a correction


 Elliott Wave Analysis of NZD/USD - Peaking, time for a correction

NZD/USD has made a clear five wave advance since the March 19 low at 0.5468. Now the red lights are starting to flash bright red at wave 5/ has hit the 38.2% target of the distance traveled from the start of wave 1/ through wave 3 added to the bottom of wave 4/, this target is seen at 0.7092. 

The top of the wave 2/ - 4/ channel has been hit and finally we are seeing a clear negative divergence from the RSI indicating a loss of upside momentum and a top nearby. 

A break below minor support at 0.7006 will confirm the top being in place and the onset of the correction towards at least the 38.2% corrective target at 0.6498 and possibly even deeper than that, but for now let's focus on the top being confirm and then a larger correction unfolding. 

Remember the trend and patience are your friends.


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