• EUR/NZD initially dipped on Tuesday but recovered ground as euro attracted buyers ahead of upcoming policy announcements from the European Central Bank.
• The European Central Bank meets on Thursday and is expected to raise rates by 75 basis points.
• Technical signals show the pair could gain more ground as RSI is at 58 bullish, and 9, 11,21 DMA’s are trending north.
• Immediate resistance is located at 1.7402 (23.6%fib), any close above will push the pair towards 1.7474(18th Oct high).
• Immediate support is seen at 1.7286 (21DMA) and break below could take the pair towards 1.7221(38.2% fib).
Recommendation: Good to buy around 1.7310, with stop loss of 1.7240 and target price of 1.7400
