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FxWirePro: EUR/NZD neutral in the near-term, scope for downward resumption

• EUR/NZD recovered some ground on upbeat euro zone economic growth data  but gains were limited as fears of  recession  in Eurozone outweighed upbeat Eurozone GDP data .

• Euro zone economic growth accelerated quarter-on-quarter in the second quarter, defying expectations of a slowdown.

• EUR / NZD approached to test resistance 1.6319. (23.6%  fib)  but   retreated as   GBP lost strength..

• EUR /NZD sentiment is bearish  as Eurozone  energy supply fears  and Eurozone  growth   concerns is likely to pull   the euro lower.

• Immediate resistance is located at 1.6332( 5DMA), any close above will push the pair towards 1.6375 ( 38.2% fib).

• Immediate support is seen at 1.6221 (38.2%fib) and break below could take the pair towards 1.6132(Lower BB).

 Recommendation: Good to sell around 1.6250, with stop loss of 1.6370 and target price of 1.6140.

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