• EUR/NZD initially gained on Tuesday but gave up ground after inflation and growth data pointed to a lower print for Eurozone bloc.
•Euro zone economic growth was weaker than expected in the third quarter, a flash estimate showed, with GDP contracting slightly quarter-on-quarter and the year-on-year growth rate slowing sharply.
• The euro erased Monday’s gains against the kiwi dollar , the pair was last up at 0.01% at 1.8164 .
• Technical signals show the pair could gain more ground in the short-term as RSI is at 61 bullish, daily momentum studies 5, 9 and 11 DMAs are trending up.
• Immediate resistance is located at 1.8239 (23.6%fib), any close above will push the pair towards 1.8267(Oct 26th high).
• Strong support is seen at 1.8132 (11DMA) and break below could take the pair towards 1.8095 (38.2%fib)
Recommendation: Good to buy around 1.8140 with stop loss of 1.8050 and target price of 1.8250
