• EUR/NZD rose on Wednesday as expectations for European Central Bank rate cuts were scaled back following a stronger-than-expected Q3 growth reading for the euro zone.
• French central bank chief Francois Villeroy de Galhau said the European Central Bank should retain its focus on getting inflation to 2% in the medium-term.
•ECB board member Isabel Schnabel argued for gradual rates cuts. Bundesbank President Joachim Nagel said price stability is not far off.
• Technical signals are strongly bullish as RSI is at 66, daily momentum studies 5, 9 and 10 DMAs are trending up.
• Immediate resistance is located at 1.8198 (23.6%fib), any close above will push the pair towards 1.8226 (Higher BB).
• Strong support is seen at 1.8074(38.2% fib) and break below could take the pair towards 1.7964 (50% fib )
Recommendation: Good to buy around 1.8170 with stop loss of 1.8100 and target price of 1.8270
