• EUR/NZD rose sharply on Friday as lower in US yields and weaker kiwi dollar offset dovish ECB and hotter US CPI.
• EUR/NZD lifts further above 1.6968 (38.2% fib). A test of 1.7050 zone cannot be ruled out.
• Technical signals indicate bullish movementum, as RSI is at 58, daily momentum studies 5, 9 and 11 DMAs are trending up.
• Immediate resistance is located at 1.7050 (23.6%fib), any close above will push the pair towards 1.7076 (Higher BB).
• Strong support is seen at 1.6968 (38.2% fib) and break below could take the pair towards 1.6900 (50% fib )
Recommendation: Good to buy around 1.6970, with stop loss of 1.6900 and target price of 1.7050
