• EUR/NZD strengthened on Tuesday as weaker kiwi dollar benefited bulls, but the gains were capped.
• The is pair heading towards the 23.6%fib, as near term direction of the pair is likely to be driven by current price action.
• Pair traded in 1.6860/1.7060 range and was last trading at 1.7029 into the US afternoon.
• Technical signals are bullish as RSI is at 70, daily momentum studies 5,9 and 10 DMAs are trending up.
• Immediate resistance is located at 1.7070( 23.6%fib), any close above will push the pair towards 1.7129(Higher BB).
• Strong support is seen at 1.6953 (5DMA ) and break below could take the pair towards 1.6891 (38.2%fib).
Recommendation: Good to buy around at 1.7000, with stop loss of 1.6900 and target price of 1.7100.
