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

• EUR/NZD slipped lower on Friday as euro weakened after data showed Euro zone manufacturing slipped deeper into contraction in December .

• Euro zone manufacturing activity fell in December to its weakest in nine months, a survey showed. 

• The HCOB Eurozone Manufacturing PMI dropped to 48.8 in December from 49.6 in November, hitting a nine-month low and below the preliminary estimate of 49.2.

• Germany, the eurozone’s largest economy, posted the weakest PMI in 10 months, while Italy and Spain returned to contraction.

• Immediate resistance is located at 2.0428(38.2%fib), any close above will push the pair towards 2.0483(Higher BB).

•    Immediate support is seen at 2.0249(SMA 20) and break below could take the pair towards 2.0168(50%fib).

Recommendation: Good to sell  around 2.0320 with stop loss of 2.0400 and target price of 2.0250