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FxWirePro: EUR/NZD downside pressure builds, key support level in focus

• EUR/NZD declined on Wednesday as  pair attracted seller after Euro zone and German  manufacturing data slumped in October.

• Scope is growing for an eventual break under the 1.6794 (50 %fib )  level, an eventual break below 50 %fib will accelerate further downside.

• Technical signals are bearish as RSI is heading down  at 40, daily momentum studies  5, 9 and 11 DMAs are trending down. 

• Immediate resistance is located at 1.6909 (50DMA), any close above will push the pair towards 1.6940(38.2%fib)

• Strong support is seen at 1.6794 (50 %fib ) and break below could take the pair towards 1.6631(61.8 %fib).

Recommendation: Good to sell on rally around 1.6840, with stop loss of 1.6950 and target price of 1.6740.
 

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