• EUR/NZD traded in tight range on Tuesday as investors avoided taking new positions in the pair ahead of Thursday’s ECB meeting.
• EUR/NZD saw some mild recovery on Tuesday, having failed to break below23.6% fib,A close below the 23.6% fib at 1.6164 would add further bearish pressure.
• Technical signals are bearish as RSI is at 30, daily momentum studies 5,9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.6216 (5DMA), any close above will push the pair towards 1.6278(38.2%fib)
• Strong support is seen at 1.6164 (23.6% fib ) and break below could take the pair towards 1.6082 (Lower BB).
Recommendation: Good to sell around 1.6200, with stop loss of 1.6300 and target price of 1.6080.
