? EUR/NZD Massive Bullish Breakout Above Daily Bull Flag ?

2 min read

Hi traders,

The EUR/NZD has built strong bullish momentum in the most recent price swings (blue arrows). The sideways corrective patterns are suggesting that the EUR/NZD could soon continue with the uptrend.

EUR/NZD

Week


The EUR/NZD seems to be building a bullish 5 wave (purple) pattern. The current consolidation might be a wave 4 (purple) when considering the lengthy and choppy price action recently, which is typical for a wave 4 pattern. The bullish breakout above the resistance trend line (dotted orange) is a first clue that price is preparing for a potential move higher. The green lines indicate one of the potential targets for wave 5 at around 1.82 if the wave 5 would be equal to wave 1.

Day


The EUR/NZD is building a bull flag chart pattern on the daily chart. The correction is now slowly but surely moving higher as price is finding support at the 21 ema zone. The HMA has also turned up which is indicating that the bulls are slowly regaining control. The confirmation of a bullish breakout is when a daily candle is above to break and close above the resistance zone (red box). In that case, a bullish breakout, pullback and continuation (blue arrows) might take place.

Good trading,
Chris Svorcik
Elite CurrenSea

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