The current 4H formation on NZDUSD hints to a double zigzag pattern consisting of waves Ⓦ-Ⓧ and Ⓨ. The primary degree waves are part of the longer-term cycle labeled w,x,y,x,y.
With Ⓦ and Ⓧ having accomplished their directional course already, the corrective pattern is required to complete an intermediate degree (A)-(B)-(C) pattern. The completion of this “three” pattern would conclude the last primary wave Ⓨ.
Intermediate wave (C) is the only wave required to complete wave Ⓨ and consequently, the longer-term y formation as both intermediate waves (A) and (B) have ended.
A closer look at the 1H timeframe signals that following the completion of intermediate waves (A) and (B) we could expect wave (C) to find strong bears at 0.649.
The projection is based on the tenancy of waves (А) and (С) of a zig-zag being equal.
Wave (C) is then likely to take the form of a bullish 5-wave impulse with expectations of a rapid surge being positive.