NZD/USD Elliott Wave technical analysis
-
Function: Trend.
-
Mode: Impulsive.
-
Structure: Orange wave 1.
-
Position: Navy blue wave 3.
-
Next higher degrees direction: Orange wave 1 (initiated).
-
Details: Orange wave C of 2 appears completed; now, orange wave 1 of 3 is in progress.
-
Wave cancel invalid level: 0.58562.
The Elliott Wave analysis for NZDUSD on the daily chart highlights a trend functioning in an impulsive mode. The current structure identifies orange wave 1 positioned within the larger navy blue wave 3, suggesting a significant upward movement in the market within a broader impulsive wave pattern.
Technical analysis indicates that orange wave C of 2 seems to have completed, marking the end of a corrective phase and the beginning of a new impulsive wave, specifically orange wave 1 of 3. This transition from corrective to impulsive phase suggests an upward momentum is currently underway.
The analysis for the next higher degrees points to orange wave 1, indicating the early stage of a larger impulsive wave. The market is expected to continue its upward trend as it moves through the subsequent waves of the impulsive sequence.
The wave cancel invalid level is set at 0.58562, which serves as a crucial threshold for the current wave analysis. If NZDUSD falls below this level, the current wave count would be invalidated, signaling that the expected wave pattern is no longer valid. This scenario would necessitate a reassessment of the wave count and the overall market outlook.
In summary, the NZDUSD Elliott Wave Analysis on the daily chart indicates the currency pair is in the early stages of a new impulsive upward trend within orange wave 1, positioned in navy blue wave 3. The completion of orange wave C of 2 signals the end of a corrective phase and the beginning of an impulsive phase, with orange wave 1 of 3 now active. The wave cancel invalid level of 0.58562 is a critical point for validating the current wave structure, and a breach of this level would require reevaluation of the wave count.
NZD/USD day chart
NZD/USD four-hour chart
-
Function: Trend.
-
Mode: Impulsive.
-
Structure: Gray wave 1.
-
Position: Orange wave 1.
-
Next lower degrees direction: Orange wave 2.
-
Details: Orange wave C of 2 appears completed; now gray wave 1 of 1 is in progress.
-
Wave cancel invalid level: 0.58562.
The Elliott Wave analysis for NZDUSD on the 4-hour chart indicates a trending function in an impulsive mode. The current structure identifies gray wave 1 positioned within orange wave 1, highlighting the start of a new upward trend with significant price movements.
According to the technical analysis, orange wave C of 2 seems to have completed, marking the end of the corrective phase represented by orange wave C. The market is now transitioning into gray wave 1 of 1, indicating the start of a new impulsive wave and suggesting potential upward momentum.
The direction for the next lower degrees is identified as orange wave 2. After the ongoing gray wave 1 concludes, a corrective phase marked by orange wave 2 is expected. This phase may involve a temporary pullback or consolidation before the market resumes its primary upward movement. The presence of orange wave 2 indicates possible short-term fluctuations before continuing the overall upward trend.
The wave cancel invalid level is set at 0.58562, serving as a critical threshold for the current wave analysis. If NZDUSD falls below this level, the current wave count would be invalidated, indicating that the expected wave pattern is no longer applicable. This scenario would require a reassessment of the wave count and overall market outlook.
In summary, the NZDUSD Elliott Wave Analysis on the 4-hour chart shows that the currency pair is in the early stages of a new impulsive upward trend within gray wave 1, positioned in orange wave 1. The analysis suggests that orange wave C of 2 has been completed, and gray wave 1 of 1 is now in play, with orange wave 2 expected to follow. The wave cancel invalid level of 0.58562 is a crucial point for validating the current wave structure and would require reassessment if breached.
NZD/USD Elliott Wave technical analysis [Video]
As with any investment opportunity there is a risk of making losses on investments that Trading Lounge expresses opinions on.
Historical results are no guarantee of future returns. Some investments are inherently riskier than others. At worst, you could lose your entire investment. TradingLounge™ uses a range of technical analysis tools, software and basic fundamental analysis as well as economic forecasts aimed at minimizing the potential for loss.
The advice we provide through our TradingLounge™ websites and our TradingLounge™ Membership has been prepared without considering your objectives, financial situation or needs. Reliance on such advice, information or data is at your own risk. The decision to trade and the method of trading is for you alone to decide. This information is of a general nature only, so you should, before acting upon any of the information or advice provided by us, consider the appropriateness of the advice considering your own objectives, financial situation or needs. Therefore, you should consult your financial advisor or accountant to determine whether trading in securities and derivatives products is appropriate for you considering your financial circumstances.
Recommended Content
Editors’ Picks
AUD/USD: Further range bound should not be ruled out
AUD/USD managed to regain the smile and challenged the key 0.6500 hurdle on the back of the knee-jerk in the US Dollar and ahead of key data releases in Australia and the US labour market.
EUR/USD trapped below 1.0600
EUR/USD turned lower once again on Tuesday, grappling with the 1.0500 handle as Fiber flubs a bullish run at 1.0600. Several EU-centric datapoints are releasing on Wednesday, but most of the figures are final prints that are unlikely to move markets, and most investors are pivoting to face US NFP jobs data due at the end of the week.
Gold keeps struggling for direction
Following Monday's retreat, Gold stabilizes and trades in a narrow band below $2,650. The benchmark 10-year US Treasury bond yield stays flat near 4.2% ahead of Fedspeak, making it difficult for XAU/USD to gather directional momentum.
Australia GDP growth set to accelerate slightly in Q3, dashing hopes of imminent RBA rate cut
Australian Gross Domestic Product is foreseen to be up by 1.1% in Q3 compared with the same quarter a year earlier. The Reserve Bank of Australia will likely maintain the OCR on hold until later in 2025. The Australian Dollar advances against its United States rival, sellers waiting for better levels.
The fall of Barnier’s government would be bad news for the French economy
This French political stand-off is just one more negative for the euro. With the eurozone economy facing the threat of tariffs in 2025 and the region lacking any prospect of cohesive fiscal support, the potential fall of the French government merely adds to views that the ECB will have to do the heavy lifting in 2025.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.