• The NZD/USD gained some upward traction on Monday as strong China services activity data provided some support to kiwi dollar.
• Data showed, China's services sector saw the fastest growth in seven months in december, fueled by a surge in domestic demand..
• The Caixin/S&P Global services purchasing managers' index (PMI) rose to 52.2 in December from 51.5 the previous month.
• At GMT06:07, the New Zealand dollar often used as a proxy for China's currency was up 0.29% to $0.5624.
• Immediate resistance is located at 0.5646(38.2%fib), any close above will push the pair towards 0.5850(50%fib).
• Support is seen at 0.5588 (23.6%fib) and break below could take the pair towards 0.5521(Lower BB).
Recommendation: Good to sell around 0.5640, with stop loss of 0.5700 and target price of 0.5550
