• EUR/NZD strengthened on Wednesday as euro was boosted by optimism surrounding a massive German spending proposal aimed at strengthening European economic growth.
•Economists and investors are calling on Germany to reform its debt brake borrowing limits to unlock investment and revive its struggling economy, which has contracted for two years.
•Looking Ahead, investors are closely monitoring the European Central Bank's meeting on Thursday, where a 25-basis-point rate cut is widely anticipated.
• Technical signals show the pair could gain more ground in the short-term as RSI is at 76 bullish, daily momentum studies 11, 14 and 21 DMAs are trending up.
• Immediate resistance is located at 1.8892 (23.6%fib), any close above will push the pair towards 1.8921(Higher BB).
• Strong support is seen at 1.8748(Daily low) and break below could take the pair towards 1.8667(38.2% fib )
Recommendation: Good to buy around 1.8820 with stop loss of 1.8700 and target price of 1.8890
