NZDUSD rallied last week as expected. Will price advance further this week? The following 23 July NZDUSD Elliott wave analysis gives technical insights based on Elliott wave theory.
The Kiwi completed a corrective double zigzag pattern last week as part of an impending bullish impulse wave to 0.7060. Price is now at the brink of breaking out of the channel. The current price region is heavy and would require a strong bullish momentum to break upside. Let’s review the last update where the chart below was used.
The double zigzag wave (ii) seems to have ended at the base of its channel at 0.6712. A strong break below 0.692 could lead to a break below 0.6680 which would invalidate this forecast. A break above the wave x-y (in purple) upper trendline would be the first confirmation of an impending bullish roar. A break above the wave (ii) channel would be a more conservative confirmation of a bullish move up to 0.7060.
23 July NZDUSD Elliott wave analysis: what next?
Price is at the roof of the double zigzag channel which also falls on an intraday resistance zone. Price has failed to break above this zone twice. If it does this time, we should expect it to advance to 0.7060 first bullish target of this forecast. A less likely fast drop below 0.6712 would invalidate this forecast. In as much as price stays above 0.6712, the better chances are still upside. Stay tuned for the next update.
Do you have other views in contrast to the ones listed or you want to compliment them further? let’s know by your comment below.
Don’t forget to share this analysis with people that matter to you.