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NZDUSD Elliott Wave Analysis Trading Lounge Day  Chart, 13 February 24

New Zealand Dollar/U.S.Dollar (NZDUSD) Day Chart

NZDUSD Elliott Wave Technical Analysis

FUNCTION:   Counter Trend

MODE: Corrective

STRUCTURE: blue wave Y of 2

POSITION:  Red wave 3

DIRECTION NEXT HIGHER DEGREES: black wave 3

DETAILS: blue wave X of 2 looking completed at 0.61751. Now blue wave Y of 2  is in play and looking near to end. Wave Cancel invalid level: 0.57733

The "NZDUSD Elliott Wave Analysis Trading Lounge Day Chart" dated 13 February 24, provides an in-depth analysis of the New Zealand Dollar/U.S. Dollar (NZDUSD) currency pair using Elliott Wave principles. Focusing on the daily chart, the analysis aims to offer insights into potential price movements and wave structures, catering to traders with a longer-term perspective.

The identified "FUNCTION" is "Counter Trend," indicating that the analysis is geared towards identifying potential reversals against the prevailing trend. This implies that the market is undergoing a corrective phase, presenting opportunities for traders to navigate against the primary trend.

The specified "MODE" is "Corrective," highlighting the nature of the market structure as being part of a corrective wave pattern. Corrective waves, as opposed to impulsive waves, suggest a temporary deviation from the primary trend, often involving sideways or zigzag movements.

The "STRUCTURE" is described as "blue wave Y of 2," providing a key insight into the ongoing Elliott Wave pattern. This information helps traders understand the context of the current market movement and anticipate potential future developments.

The "POSITION" is labeled as "Red wave 3," indicating the subwave count within the broader blue wave Y structure. This detailed wave analysis is crucial for traders employing Elliott Wave theory to identify potential turning points and forecast future price action.

In terms of "DIRECTION NEXT HIGHER DEGREES," the analysis points to "black wave 3," suggesting the expected direction of the next higher-degree wave. This hierarchical approach to wave analysis provides a comprehensive view of the market's potential trajectory.

The "DETAILS" section notes that "blue wave X of 2" is considered completed at 0.61751, marking the end of a corrective pattern. The analysis now suggests that "blue wave Y of 2" is in play and nearing completion, potentially indicating a resumption of the primary trend.

The "Wave Cancel invalid level" is specified as "0.57733," providing traders with a critical reference point. A breach of this level may prompt a reevaluation of the current wave count and potential shifts in the market trajectory.

In summary, the NZDUSD Elliott Wave Analysis for the daily chart on 13 February 24, suggests a counter-trend move with the completion of "blue wave X of 2" and the initiation of "blue wave Y of 2." Traders are advised to monitor the market closely, especially the specified invalidation level at 0.57733, for potential changes in market sentiment.

Technical Analyst: Malik Awais

Source: Tradinglounge.com

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