FxWirePro: EUR/NZD retains firm tone , good to buy on dips

• EUR/NZD strengthened  on Monday  as the pairs bullish  allure persisted across the board ahead of  European Central Bank's policy decision later this week.

•European Central Bank is   expected to leave rates unchanged at 4%, investors will focus on the tone of the policy statement and President Christine Lagarde's press conference.

• EUR/NZD  rose above 1.7900 level . A break and daily close above  38.2%fibresistence  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 1.7942 (38.2%fib), any close above will push the pair towards 1.7986(Higher BB).

• Strong support is seen at 1.7859(50% fib) and break below could take the pair towards 1.7771(61.8% fib ).

Recommendation: Good to buy around 1.7920 with stop loss of 1.7850 and target price of 1.7990