• EUR/NZD declined on Wednesday as New Zealand dollar outperformed euro as risk appetite improved.
• The pair reached 1.7410 after extending south from 1.7566. 1.7410 is the lowest level since 24th February 2020.
• The pair is heading towards the 300 DMA (1.7293), as the outlook for the pair turns more negative. Only a break and daily close above 1.7694 (5 DMA)will shift bias to the upside.
• Technical signals show the pair could lose more ground in the short-term as RSI is at 36 bearish, daily momentum studies 5, 9 and 10 DMAs are trending down.
.
• Immediate resistance is located at 1.7580 (Daily high), any close above will push the pair towards 1.7694 (5 DMA).
• Immediate support is seen at 1.7410 (23.6% fib) and break below could take the pair towards 1.7293 (300 DMA).
Recommendation: Good to sell around 1.7500, with stop loss of 1.7800 and target price of 1.7360
