• EUR /NZD strengthened on Wednesday as the pair was boosted by comments from a host of ECB central bank leaders.
• The market continues to price in most of two additional 25bp ECB hikes before a subtle shift toward cuts in 2024.
• The pair hit daily high at 1.8011 and was last trading at 1.7937.
• Technical signals indicate bullish momentum, as RSI is at 68, daily momentum studies 5, 9 and 11 DMAs are trending up.
• Immediate resistance is located at 1.8011(Daily high), any close above will push the pair towards 1.8100 (23.6% fib).
• Immediate support is seen at 1.7854 (38.2% fib) and break below could take the pair towards 1.7553 (5DMA).
Recommendation: Good to buy on dips around 1.7960, with stop loss of 1.7860 and target price of 1.8070.
