• EUR/NZD rose higher on Tuesday as broad based New Zealand dollar selling drove EUR/NZD sharply higher.
• EUR/NZD saw some mild signs of stabilization, having dropped from 1.6272 to nearly 1.5885 over the last week.
• EUR/NZD bears maintain control below the 1.6151 (38.2%fib), while bulls need to clear 1.6200 level to regain momentum.
• Technicals are favouring bearish sentiment as RSI is at 40 and the pair is trading below 11 & 21-DMAs..
• Immediate resistance is located at 1.6078 (15th Aug high), any close above will push the pair towards 1.6151 (38.2%fib).
• Strong support is seen at 1.5986 (5DMA) and break below could take the pair towards 1.5882 (23.6% fib )
Recommendation: Good to sell around 1.6050 , with stop loss of 1.6200 and target price of 1.5950
