• EUR/NZD declined on Wednesday as stronger than expected China official and Caixin PMI underpinned kiwi dollar.
• China's official manufacturing purchasing managers' index (PMI) rose to 52.6 last month from 50.1 in January.
• The pair currently is approaching support at 1.6341(38.2% fib. A break under 1.7470 would unmask 1.7200 level in the short term.
• Technical signals are bearish as RSI is turning lower, daily momentum studies 5, 9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.7086 ( 5DMA), any close above will push the pair towards 1.7134 (38.2% fib)
• Support is seen at 1.6995(50% fib ) and break below could take the pair towards 1.6934 (Feb 15th low).
Recommendation: Good to sell around 1.7070 , with stop loss of 1.7150 and target price of 1.6980
