STRATEGY: Bearish, against .8173, target TBD
Our confidence in the bearish count that first proposed last Friday is growing as the NZDUSD has weakened. We view the rally from .6639 to .8215 as a large expanded flat (A-B-C). Wave C of that rally is an ending diagonal (waves 1-2-3-4-5 are overlapping and each subdivide into 3 waves). Bigger picture, .8215 may be the end of wave B from .5927. Price is expected to eventually come under .5927. We will discuss shorter term targets as the pattern evolves. Risk on shorts can be moved to .8173.