• EUR/NZD retreated sharply from daily high on Friday as investors took profits from recent gains after US NFP data.
• Profit taking is common during major events.EUR/NZD fell from 1.6992 to hit daily low at1.6880.
• Dip buying is highly likely in this pair, 1.6870-1.6840 is likely to be the main area for buyers and a springboard for the next upleg.
• Immediate resistance is located at 1.6911 (38.2%fib), any close above will push the pair towards 1.6992 (Daily high).
• Strong support is seen 1.6872 (14DMA) and break below could take the pair towards 1.6832 (50% fib).
Recommendation: Good to buy around 1.6860, with stop loss of 1.6820 and target price of 1.6910
