Despite higher gold prices, commodity currencies remain weak against the buck. We do not see a higher NZD or AUD even with rising metals, so this tells us that when resistance on gold will be hit, NZD and AUD can fall sharply. That said, we are observing a bearish pattern on NZDUSD. We see a triangle in wave four that can be near completion now as wave E) hits the upper line of a pattern. Weakness can occur soon for a move back to the lows.
NZDUSD Elliott Wave Analysis
NZDJPY is also showing a clear bearish triangle that is pointing down into wave (5) over the next few days. Now, the question is which one is better to look for shorts; is it NZDUSD or NZDJPY!? Well we compared them to each other and can see that NZDUSD is much lower than NDZJPY, and it’s because of a rising USDJPY so the best trade can be on NZDUSD.
NZDJPY 4h Elliott Wave Analysis
