GBP/NZD massive bullish wave three seems unstoppable
|The GBP/NZD made a very strong breakout and bullish impulse above the 21 ema zone. The current consolidation pattern will probably be a base for multiple higher highs.
Price Charts and Technical Analysis
The GBP/NZD bullish momentum is strong. More than 20 candlesticks have not retraced back to the 21 ema zone (see green diamonds). This means that the impulse is probably a wave 3 (orange). And that any pullback is likely a wave 4. This is only invalidated if price retraces below the top of wave 1 (red x). In fact, multiple waves 3-4-5 could be remaining.
The next target is aiming at the 2.03-2.0325 zone. A bearish pullback could take place as the new high creates divergence. But a pullback is expected to retest the support zone (purple box) and use it for another bullish bounce and uptrend continuation.
The analysis has been done with the ecs.SWAT method and ebook.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.