NZD/USD Elliott Wave technical analysis – Day chart
Function: Bullish Trend.
Mode: Impulsive.
Structure: Orange Wave 3.
Position: Navy Blue Wave 1.
Direction next higher degrees: Orange Wave 3 (in progress).
Details: Orange Wave 2 appears complete; Orange Wave 3 is now active.
Wave cancel invalidation level: 0.58433.
The daily chart analysis for NZDUSD indicates a bullish trend, with current price action moving impulsively. The structure is recognized as Orange Wave 3 within Navy Blue Wave 1, suggesting a strong upward phase in a broader bullish trend.
With Orange Wave 2 seemingly finished, Orange Wave 3 is now active. This wave typically generates the most dynamic and extended price movements in an Elliott Wave sequence. The analysis identifies that Orange Wave 3 has just started, signifying potential for further upward gains.
The invalidation level is at 0.58433. A break below this point would nullify the current wave outlook and require a revised analysis. As long as the price stays above this level, the bullish structure remains valid.
Current chart conditions support a sustained rise, with Orange Wave 3 gaining momentum after the completion of Orange Wave 2. The impulsive character of this move suggests continued buying strength and prospects for significant price increases.
NZD/USD Elliott Wave technical analysis – Four-hour chart
Function: Counter Trend.
Mode: Corrective.
Structure: Gray Wave 2.
Position: Orange Wave 3.
Direction next higher degrees: Gray Wave 3.
Details: Gray Wave 1 appears complete; Gray Wave 2 is currently forming.
Wave cancel invalidation level: 0.58433.
The 4-hour chart analysis of NZDUSD highlights a counter-trend corrective phase. Price action is undergoing a retracement, which is typical within a broader upward move. The current structure is identified as Gray Wave 2, positioned within Orange Wave 3.
With Gray Wave 1 likely completed, the chart now reflects a transition into Gray Wave 2. This is a normal retracement phase, potentially leading into Gray Wave 3, which would resume the dominant trend.
The price level of 0.58433 remains the invalidation point. Any movement below this value would invalidate the current Elliott Wave outlook. For now, the technical structure supports a pullback within a bullish setup.
Traders should closely watch the progression of Gray Wave 2, as its completion would likely signal the beginning of Gray Wave 3. While the current phase is corrective, it is expected to give way to renewed upward momentum in line with the broader trend.
NZD/USD Elliott Wave technical analysis [Video]
As with any investment opportunity there is a risk of making losses on investments that Trading Lounge expresses opinions on.
Historical results are no guarantee of future returns. Some investments are inherently riskier than others. At worst, you could lose your entire investment. TradingLounge™ uses a range of technical analysis tools, software and basic fundamental analysis as well as economic forecasts aimed at minimizing the potential for loss.
The advice we provide through our TradingLounge™ websites and our TradingLounge™ Membership has been prepared without considering your objectives, financial situation or needs. Reliance on such advice, information or data is at your own risk. The decision to trade and the method of trading is for you alone to decide. This information is of a general nature only, so you should, before acting upon any of the information or advice provided by us, consider the appropriateness of the advice considering your own objectives, financial situation or needs. Therefore, you should consult your financial advisor or accountant to determine whether trading in securities and derivatives products is appropriate for you considering your financial circumstances.
Recommended Content
Editors’ Picks
EUR/USD fails to gather traction, remains below 1.1700
EUR/USD fails to gather momentum, trading below 1.1700 at the end of the week. The pair is pulled down by dwindling prospects for an EU-US trade accord, as US President Trump is expected to send a tariff letter to the European Union later today, while the continued demand for the US Dollar also keeps the risk complex under extra pressure.
Meme coins to watch as Bitcoin hits record high
Meme coins Bonk, Dogwifhat, and Floki are positioned to extend gains as the weekly recovery reaches crucial resistance levels. The meme coins gain bullish momentum on the back of Bitcoin’s (BTC) recovery run, hitting a new all-time high on Thursday.
Gold challenges two-week highs near $3,360
Gold gains upside impulse at the end of the week, trading near the $3,360 mark per troy ounce in respose to solid demand from te safe-haven space. Persistent trade uncertainty underpins the ongoing risk-off mood among investors, lending extra wings to the precious metal.
GBP/USD drops below 1.3500, flirts with three-week lows
GBP/USD continues its weekly retracement on Friday, trading at its lowest level in nearly three weeks below the 1.3500 support. The UK's poor GDP statistics drags on the British pound, while the US Dollar continues to profit from safe-haven flows, sending Cable and its risk-related peers to lower levels.
Week ahead – A storm of CPI data and China’s GDP in focus amid trade uncertainty
Dollar attracts safe haven flows amid trade anxiety. US inflation data could shake July Fed cut probability. UK, Canadian and Japanese CPI numbers also on tap. Weak Chinese growth may increase calls for more stimulus.
Best Brokers for EUR/USD Trading
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.