• EUR/NZD strengthened on Friday as the euro recovered its recent losses on short-covering and higher bund yields.
• Four European Central Bank policymakers backed further interest rate cuts on Friday provided that inflation settles at the ECB's 2% goal as expected.
• Traders are pricing in rate cuts of 112 basis points by the end of next year by European Central Bank.
• From a technical viewpoint, RSI is bullish at 63, daily momentum studies, 5, 10 and 11 SMAs are pointing up .
• Immediate resistance is located at 1.8243(23.6%fib), any close above will push the pair towards 1.8273 (Higher BB).
• Immediate support is seen at 1.8139 (38.2%fib) and break below could take the pair towards 1.8073(Dec12th Low).
Recommendation: Good to buy around 1.8240, with stop loss of 1.8150 and target price of 1.8300
