• EUR/NZD steadied on Wednesday as focus shifted to euro zone employment data on Thursday and Q2 GDP for hints at near-term ECB policy.
• The ECB has raised rates at each meeting over the past year, taking its deposit rate to 3.75%, and its governing council will meet on Sept. 14 to decide on monetary policy.
• A daily close above 23.6% fib will further improve the technical outlook, and open the possibility of a rally towards 1.8400 level.
• 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 1.8333(23.6% fib), any close above will push the pair towards 1.8403 (Higher BB).
• Strong support is seen at 1.8243(5DMA) and break below could take the pair towards 1.8182(38.2% fib )
Recommendation: Good to buy around 1.8250, with stop loss of 1.8140 and target price of 1.8340
