FxWirePro :EUR/NZD uptrend gains momentum, as positive sentiment builds

• EUR/NZD rose higher on Tuesday as weaker kiwi dollar and upbeat Eurozone GDP data boosted the pair.

•The euro zone economy grew by more than expected in the first quarter of 2024, buoyed by a return to growth for Germany and strong expansion in Spain.

•Gross domestic product increased by 0.3% quarter-on-quarter for a 0.5% year-on-year rise, compared with market expectations that both would expand by 0.2%.

• A close above 23.6%  fib resistance , will  likely trigger a new bullish phase with potential for 1.8200.

• Technical signals show the pair could gain more ground in the short-term as RSI is at 61 bullish, daily momentum studies  5, 10 and 21 DMAs are trending  up. 

•  Immediate resistance is located at 1.8127(23.6%  fib), any close above will push the pair towards 1.8168 (Higher BB).

• Strong support is seen at 1.7987(38.2% fib  ) and break below could take the pair towards 1.7883 (50% fib ).

Recommendation: Good to buy around 1.8090  , with stop loss of 1.7900   and target price of 1.8160