• EUR/NZD fell deeper into negative territory on Thursday as the New Zealand dollar gained strength against the euro following the release of positive Chinese trade data.
• Shipments from China grew 1.5% year-on-year last month by value, customs data showed on Thursday. Imports for April increased 8.4%, beating an expected 4.8% rise and reversing a 1.9% fall in March.
• EUR/NZD slipped to hit one-week low . A long wick formed on May 8th daily chart suggests bears are gaining control.
• Technical signals are bearish as RSI is at 42, daily momentum studies 5, 9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.7926 ( 38.2%fib), any close above will push the pair towards 1.7977(50%fib)
• Support is seen at 1.7864 (23.6% fib ) and break below could take the pair towards 1.7827 (Lower BB).
Recommendation: Good to sell around 1.7880, with stop loss of 1.7960 and target price of 1.7760.