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NZD/USD Closes below Channel; Resistance Estimated at .8230/55

Jamie Saettele, CMT

Daily Bars

eliottWaves_nzd-usd_body_nzdusd.png, NZD/USD Closes below Channel; Resistance Estimated at .8230/55

Chart Prepared by Jamie Saettele, CMT using Marketscope 2.0

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FOREXAnalysis: “Evidence continues to mount that the April top is one of significance. The 4/12 uncovered close was reached (less than 1 pip short to be specific) on completion of what appears to be a flat from the 4/15 low and weakness from .8585 is impulsive (5 waves).” The NZDUSD has broken .8362 and the trendline that extends off of the 2012 and 2013 lows. Weakness below the downward sloping channel suggests that the drop from the April high is accelerating. The underside of this line is now estimated resistance near .8250 on Wednesday.

FOREXTrading Strategy: I exited the short today but the bias is still short…now against .8370. Looking to short again at .8250.

LEVELS: .7914 .8052 .8161 .8230/55 .8287 .8350

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