• EUR/NZD strengthened on Tuesday as the deeply oversold euro latched onto a short-lived recovery, overcoming market news about a U.S. ban on Russian energy imports.
• Bulls gained momentum above 1.6000,but failed to close above 50%fib resistance.
• Technical signals are bearish as RSI is at 23, daily momentum studies 5,9 and 10 DMAs are trending down.
•Immediate resistance is located at 1.6040( 50%fib), any close above will push the pair towards 1.6177(61.8%fib).
• Strong support is seen at 1.5905 (38.2%fib ) and break below could take the pair towards 1.5732 (23.6%fib).
Recommendation: Good to sell around 1.6040, with stop loss of 1.6140 and target price of 1.5950
