• EUR/NZD initially dipped on Wednesday but recovered some of losses as investors were cautious ahead of Eurozone PMI data to be released on Thursday.
.• Thursday's European PMIs expected to improve but likely to remain in contraction, reflecting ongoing sluggish growth in the Eurozone
• EUR/NZD has seen a 1.7450-1.7537 range on Wednesday, chart points to an drop towards 1.7450.
• Technical signals show the pair could lose more ground as RSI is at 42, and 5, and 9 DMA’s are trending south.
• Immediate resistance is located at 1.7544(Daily high), any close above will push the pair towards 1.7618 (38.2%fib).
• Immediate support is seen at 1.7443 (23.6%fib) and break below could take the pair towards 1.7383 (Dec 20th low).
Recommendation: Good to sell round 1.7530, with stop loss of 1.7640 and target price of 1.7450
