FxWirePro: EUR/NZD retains firm tone after key US CPI data, good to buy on dips
• EUR/NZD rose above 1.6600 on Tuesday as the pairs bullish allure persisted across the board after U.S. inflation data. •Data showed U.S. consumer prices rose faster than expected in August, prompting bets for more aggr…
• EUR/NZD rose above 1.6600 on Tuesday as the pairs bullish allure persisted across the board after U.S. inflation data.
•Data showed U.S. consumer prices rose faster than expected in August, prompting bets for more aggressive Federal Reserve rate hikes.
• EUR/NZD rose above 1.6600 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 64 bullish, daily momentum studies 5, 9 and 11 DMAs are trending up.
• Immediate resistance is located at 1.6656 (23.6%fib), any close above will push the pair towards 1.6733(Higher BB).
• Strong support is seen at 1.6541(5 DMA) and break below could take the pair towards 1.6486(38.2% fib ).
Recommendation: Good to buy around 1.6600, with stop loss of 1.6510 and target price of 1.6710
