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FxWirePro :EUR/NZD maintains bullish bias with focus on 1.6000 level

• EUR/NZD strengthened on Monday as euro bounced against kiwi dollar following French election results but gains were limited as investors awaited for RBNZ rate call.

• All but six of 21 economists polled expected the RBNZ to raise the official cash rate (OCR) by 25 basis points (bps) to 1.25% at its Wednesday meeting.

• EUR/NZD bulls have to contend with strong resistance at 1.59723 (50%fib). If EUR/NZD longs overcome that level, tests of 1.6145 (Higher BB)  is likely.

• Technical signals show the pair could gain more ground in the short-term as RSI is rising from below, daily momentum studies  5, 9   DMAs are trending  up.

• Immediate resistance is located at 1.5973 (50%fib),any close above will push the pair towards 1.6145 (Higher BB ).

• Immediate support is seen at 1.5863 (5DMA) and break below could take the pair towards 1.5759 (38.2%fib )

Recommendation: Good to buy around  1.5940, with stop loss of 1.5840 and target price of 1.6100

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