• EUR/NZD strengthened further on Friday as weak Chinese economic data and Middle East conflict weighed on risk-sensitive New Zealand dollar.
• A close above 1 38.2% fib resistence will trigger a new bullish phase with potential for 1.7900 level
• Technical signals show the pair could gain more ground in the short-term as RSI is at 63 bullish, daily momentum studies 5, 9 and 11 DMAs are trending up.
• Immediate resistance is located at 1.7861 (38.2%fib), any close above will push the pair towards 1.7954 (23.6%fib).
• Strong support is seen at 1.7796 (50%fib) and break below could take the pair towards 1.7726 (61.8% fib )
Recommendation: Good to buy around 1.7840, with stop loss of 1.7760 and target price of 1.7900
