• EUR/NZD strengthened on Tuesday as the pairs bullish allure persisted across the board after better-than-expected Eurozone Manufacturing PMI data.
• HCOB's final euro zone manufacturing Purchasing Managers' Index (PMI), compiled by S&P Global, dipped to 46.1 in March from February's 46.5, beating a preliminary estimate of 45.7.
• EUR/NZD rose above 1.8000 level . A break and daily close above 1.6656 (23.6%fib) will accelerate further gains.
• Technical signals show the pair could gain more ground in the short-term as RSI is at 67 bullish, daily momentum studies 5, 9 and 11 DMAs are trending up.
• Immediate resistance is located at 1.8078 (23.6% fib), any close above will push the pair towards 1.8131(Higher BB).
• Strong support is seen at 1.8000 (Daily low) and break below could take the pair towards 1.7939(38.2% fib )
Recommendation: Good to buy around 1.8040, with stop loss of 1.7900 and target price of 1.8120
