FxWirePro: EUR/NZD retains firm tone after key US CPI data, good to buy on dips

• EUR/NZD rose  on Tuesday  as the pairs bullish  allure persisted across the board after  U.S. inflation data.

•The Labor Department report showed that the Consumer Price Index (CPI) rose 0.4% in February, in line with the forecast for a 0.4% increase.

• EUR/NZD  rose towards 38.2%fib resistence. A break and daily close above 1.7764 ( 38.2%fib)will accelerate further gains.

• Technical signals show the pair could gain more ground in the short-term as RSI is at 56 bullish, daily momentum studies  5, 9 and 11 DMAs are trending  up. 

• Immediate resistance is located at 1.7764 ( 38.2%fib), any close above will push the pair towards 1.7859(Higher BB).

• Strong support is seen at 1.7693(50 %fib ) and break below could take the pair towards 1.7622 (61.8%fib).

Recommendation: Good to buy on dips around 1.7750 with stop loss of 1.7620  and target price of 1.7820.