Elliot analisysEurnzd is complewting the fifth wave in daily chart, if we look closer at the 4h chart we can observe that the sub-waves have a confluence with the bigger ones, so now tha price has finished the third sub wave and is going to retrace and then there will be the last bearish impulse towards 1.653 probably.
You can open a sell trade when market will end the 4th sub wave (around 1.681) with a stop placed above the 50 moving average in h4 chart which is at is @ 1.6825, if you place your sell there your risk reward ratio will be something like 1:8;
consider that the primary trend is bearish as weel as the secondary one, so you will trade with the trend, it is the last part of the trend so pay attention to your stop loss, because you must not risk much.
Fundammetally the New Zeland is in a very good position thanks to the great Unemployment rate published earlier this week (4.9%), the inflation is going up and the RBNZ will not cut the rates as thought last year on august, The Euro is going to be weaker because of The italian cirisis and the problem related to the pandemic (New Zeland managed it with no problems), and the ECB might cut rates later this year or in early 2022, so there are gonna be some speculations.
Enjoy your trading and buy the New Zeland !
