• EUR/NZD gained on Monday as lower oil prices and improving risk appetite followed a pause in U.S.-Iran hostilities.
• Oil prices plunged over 6% on Monday as the U.S. and Iran paused strikes, raising hopes for a diplomatic breakthrough.
• German business morale improved more than expected in July as confidence strengthened across sectors, although businesses continued to face risks from the ongoing Iran conflict.
• The Ifo institute said its business climate index rose to 86.6, its highest level since February and the third consecutive monthly increase. It rose from a slightly upwardly revised 85.7 in June.
• EUR/NZD has seen range 1.9730-1.9621 the pair is likely to be fall towards 1.9600 level.
• Immediate resistance is located at 1.9730(38.2%fib), any close above will push the pair towards 1.9784(SMA 20).
• Immediate support is seen at 1.9627(Dailylow) and break below could take the pair towards 1.9483(23.6%fib).
Recommendation: Good to sell round 1.9730, with stop loss of 1.9850 and target price of 1.6650
