EUR/NZD: trade idea
• EUR/NZD falls below sell target 1.5400
• Next sell target - 1.4800
EUR/NZD has been falling strong in the last few trading sessions – breaking below the support level 1.5400, which was set as the sell target in our previous technical analysis report for this currency pair. After breaking below 1.5400, the pair reversed up to retest this price level (acting as resistance now after it was broken) – after which the pair reversed down with the Japanese candlestick reversal pattern – long-legged Doji. This downward reversal marked the completion of the previous intermediate ABC correction (4).
EUR/NZD recently broke the support level 1.5300. With the daily RSI still moving in the neutral zone, the pair is likely to fall further in the active intermediate impulse wave (3) toward the next sell target 1.4800 (low of previous impulse (3)).