• EUR/NZD rose higher on Thursday as the euro attracted buyers on hawkish ECB rate expectations.
•The ECB surprised European investors last week by striking a more hawkish tone than expected as it raised interest rates by 50 bps to 2%.
• EUR/NZD targets major chart level as its uptrend strengthens. A break and daily close above 23.6% fib will accelerate further gains.
• Technical signals show the pair could gain more ground in the short-term as RSI is at 59 bullish, daily momentum studies 5, 9 and 11 DMAs are trending up.
• Immediate resistance is located at 1.6982(23.6% fib), any close above will push the pair towards 1.7018 (Higher BB).
• Strong support is seen at 1.6807(38.2% fib) and break below could take the pair towards 1.6753(5DMA )
Recommendation: Good to buy around 1.6920, with stop loss of 1.6820 and target price of 1.7020
