In this technical blog, we will look at the past performance of the 4-hour Elliott Wave Charts of GBPNZD. In which, the rally from the 03 February 2023 low unfolded as an impulse sequence and showed a higher high sequence with a bullish sequence stamp. Therefore, we knew that the structure in GBPNZD is incomplete & should see another extension higher to complete the sequence. So, we advised members not to sell the pair & buy the dips in 3, 7, or 11 swings at the blue box areas. We will explain the structure & forecast below:
GBPNZD 4-Hour Elliott Wave Chart From 5.10.2023
Here’s the 4hr Elliott wave Chart from the 5/10/2023 update. In which, the rally to 2.0393 high ended 5 waves from the 2/03/2023 low in wave 1 & made a pullback in wave 2. The internals of that pullback unfolded as Elliott wave zigzag correction where wave ((a)) ended at 1.9978 low. Then a bounce to 2.0250 high-ended wave ((b)) & started the next leg lower in wave ((c)) towards 1.9834-1.9578 blue box area. From there, buyers were expected to appear looking for new highs ideally or for a 3-wave bounce minimum.
GBPNZD 4-Hour Latest Elliott Wave Chart From 5.13.2023
This is the latest 4hr Elliott wave Chart from the 5/13/2023 Weekend update. In which the pair is showing a strong reaction higher taking place, right after ending the zigzag correction within the blue box area. Allowed members to create a risk-free position shortly after taking the long position at the blue box area. However, a break above 2.0393 high is still needed to confirm the next extension higher & avoid a double correction lower.
Source: https://elliottwave-forecast.com/forex/gbpnzd-reacting-strongly-blue-box-area/