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FxWirePro: EUR/NZD struggles at 50-DMA, break below 1.6436 to see resumption of weakness

EUR/NZD chart - Trading View EUR/NZD is trading at 1.6514 at 1110 GMT, down 0.21% on the day. The pair is trading in a slopping channel pattern and has been rejected at channel top resistance. Price action also finds sti…

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FxWirePro: EUR/NZD struggles at 50-DMA, break below 1.6436 to see resumption of weakness
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EUR/NZD chart - Trading View 

  • EUR/NZD is trading at 1.6514 at 1110 GMT, down 0.21% on the day.
     
  • The pair is trading in a slopping channel pattern and has been rejected at channel top resistance.
     
  • Price action also finds stiff resistance at 50-DMA, any further upside only on break above.
     
  • Major trend in the pair is bearish. We recommend using minor upticks to go short. 
     
  • Immediate support lies at 5-DMA at 1.6434. Break below will see resumption of weakness. Dip till 1.62 likely.
     
  • The common currency under pressure after data released earlier today showed Euro zone economic sentiment eases more than expected in March.
     
  • EZ economic sentiment eased to 105.5 points in March from 106.2 in February, more than the 105.9 expected by economists polled by Reuters.
     
  • Further, Draghi signaled increasing challenges to the regional economy and preferred to stay away from monetary policy tightening, keeping the euro supressed.

Support levels - 1.6433 (5-DMA), 1.64 (Mar 12 low), 1.6329 (Dec 5 low)

Resistance levels - 1.6605 (50-DMA), 1.6674 (100-DMA), 1.67, 1.6754 (110-EMA)

For details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex. 
 

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