• EUR/NZD initially gained Friday but some early gains eroded as the pair failed to find strong direction.
• On The data front, Italian industrial output fell short of expectations, exacerbating challenges for the country's manufacturing sector, which has been grappling with ongoing difficulties.
• Technicals are favouring bearish sentiment as RSI is at 44 and the pair is trading below 5,10 & 11-DMAs.
• Immediate resistance is located at 1.7970(38.2% fib), any close above will push the pair towards 1.8012(May 3rd high)
• Strong support is seen at 1.7849(23.6%fib) and break below could take the pair towards 1.7814(Lower BB).
Recommendation: Good to sell on rally around 1.7830, with stop loss of 1.7950 and target price of 1.7750
