Wave summary:
EUR/NZD spiked below support at 1.7096 yesterday, but failed to follow through. We expect another test of this short-term important support soon will be seen. This time a successful break below is expected for a continuation lower towards 1.6615 in wave ii.
That said, we must allow for the correction from 1.7077 to extend closer to 1.7272 before turning lower again.
R3: 1.7272
R2: 1.7234
R1: 1.7210
Pivot: 1.7139
S1: 1.7077
S2: 1.7045
S3: 1.7000
Trading recommendation:
We are short EUR from 1.7200 with stop placed at 1.7400.
