• EUR/NZD fell below 1.7500 level on Thursday as increased risk appetite boosted kiwi dollar.
• On the data front, credit card spending in New Zealand increased 3.3% year on year through November, after falling 2.8% year on year in October.
• A daily close below 23.6%fib will further improve the bearish outlook, and open the possibility of a drop towards 1.7300 level.
• Technical lean bearish, RSI is sharply lower at 37, momentum studies, 9, 11 DMAs falling southwards.
• Immediate resistance is located at 1.7528 (38.2% fib), any close above will push the pair towards 1.7553 ( 5DMA)
• Support is seen at 1.7390 (23.6%fib) and break below could take the pair towards 1.7334(May 8th low).
Recommendation: Good to sell around 1.7490, with stop loss of 1.7600 and target price of 1.7400.
