• EUR/NZD declined on Tuesday as risk sentiment flowed back into the market after weak U.S. data.
• Any upside is likely to be temporary as barrier at 1.7025 (38.2%fib)is set to restrict higher move.
• Technical signals show the pair could lose more ground as RSI is falling, and 9, 11,21 DMA’s are trending south.
• Immediate resistance is located at 1.6974(50%fib), any close above will push the pair towards 1.7025 (38.2%fib).
• Immediate support is seen at 1.6949 (9DMA) and break below could take the pair towards 1.6917(50%fib).
Recommendation: Good to sell round 1.6970, with stop loss of 1.7040 and target price of 1.6930
