Elliott wave analysis of EUR/NZD for December 4, 2017

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Wave summary:

On Friday, we stated that the break above 1.7408 opened two possible scenarios. The first was that an expanded flat was developing and in this case resistance near 1.7458 should protect the upside. We saw a spike to 1.7479 before a strong decline was seen, and this favor this scenario developing, over the alternate count calling for a direct rally towards 1.7988.

Resistance at 1.7479 should now cap the upside for a break below support at 1.7279 for more downside pressure towards 1.7077 and 1.7035 in wave c of iv before turning higher in wave v towards 1.7988.

R3: 1.7582

R2: 1.7479

R1: 1.7410

Pivot: 1.7279

S1: 1.7210

S2: 1.7149

S3: 1.7077

Trading recommendation:

We sold EUR at 1.7450 with stop placed at 1.7485. We will place our take profit at 1.7050.

The material has been provided by InstaForex Company - www.instaforex.com