• EUR/NZD declined on Friday as dovish ECB meeting outcome and fears over the spread of the Delta variant of the coronavirus weighed on the pair.
• The pair traded down to 1.6835 and was around there into the US afternoon.
• The pairs bias is lower, but progress will likely be slowed by the (23.6%fib) at 1.6823
• Technical signals are bearish as RSI is at 47, daily momentum studies 5, 9 and 10 DMAs are trending down.
• Immediate resistance is located at 1.7485 (5DMA ), any close above will push the pair towards 1.7558 (38.2%fib).
• Strong support is seen at 1.6823 (23.6%fib) and break below could take the pair towards 1.6679(Lower BB).
Recommendation: Good to sell on rallies around 1.6860, with stop loss of 1.6930 and target price of 1.6800.
