• EUR/NZD retreated after reaching 1.7819 level on Wednesday after data showed euro zone retail sales fell much more than expected in August.
• The European Union's statistics office Eurostat said retail sales in the 20 countries sharing the euro fell 1.2% month-on-month for a 21% year-on-year decline in August..
• EUR/NZD dipped to hit daily at 1.7833 high and retreated to trade last at 1.7755. Sustained break below at 1.7645 will send the pair towards 1.7550 level .
• Technical signals show the pair could gain more ground in the short-term as RSI is at 38 bullish, daily momentum studies 5, 9 and 11 DMAs are trending down.
• Strong resistance is located at 1.7773(38.2%fib), any close above will push the pair towards 1.7810 (14DMA).
• Strong support is seen at 1.7696 (5DMA) and break below could take the pair towards 1.7645 (23.6%fib ).
Recommendation: Good to sell around 1.7760, with stop loss of 1.7850 and target price of 1.7680
