03 Feb

NZDUSD Is The Cycle Correction Wave B Completed?

February 3, 2022

By Orbex

NZDUSD

The current formation of the NZDUSD currency pair hints at a cycle zigzag pattern, which consists of three main sub-waves a-b-c.

On the current chart, we see the second half of a major correction wave b of the cycle degree. It looks fully completed, taking the form of a primary triple zigzag Ⓦ-Ⓧ-Ⓨ-Ⓧ-Ⓩ.

After the completion of the correction pattern, the market turned around, and we saw the development of the initial part of the cycle wave c. This wave is likely to take the form of a simple 5-wave impulse, as shown in the chart, consisting of five primary sub-waves ①-②-③-④-⑤.

Sub-waves ①-② have ended, and now the formation of the impulse ③ has begun. This is likely to end at the previous maximum of 0.722.

Free Reports:

Get our Weekly Commitment of Traders Reports - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.





Download Our Metatrader 4 Indicators – Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter




NZDUSD

Alternatively, the formation of a correction wave b of the cycle degree can be continued. Perhaps the primary wave Ⓩ will not be a double, but a triple zigzag (W)-(X)-(Y)-(X)-(Z) of the intermediate degree.

We see that the first four parts of the intermediate pattern have ended. Now the price could soon begin to decline in the final intermediate wave (Z).

The wave (Z) can take the form of a minor double zigzag W-X-Y, as shown in the chart near 0.640.

At that level, primary wave Ⓩ will be at 161.8% of primary wave Ⓨ.

Orbex-LogoArticle by Orbex

Orbex is a fully licensed broker that was established in 2011. Founded with a mission to serve its traders responsibly and provides traders with access to the world’s largest and most liquid financial markets. www.orbex.com


investmacro stock market newsletter




Financial News Forex and Currency News