- EUR/NZD consolidates break above major trendline resistance at 1.6240, further upside on cards.
- The pair has hit 14-month highs at 1.6393 on Wednesday's trade and is currently hovering around 1.6336.
- Technical studies are bullish, we see scope for test of 1.6469 (June 7, 2016 high).
- Kiwi was largely unimpressed by upbeat trade balance data, remains subdued on pre-election jitters.
- Break above 1.6469 then targets 1.6545 (50% Fib retrace of 1.8555 to 1.45348 fall)
Support levels - 1.63, 1.6209 (5-DMA), 1.6070 (38.2% Fib retrace of 1.8555 to 1.45348 fall)
Resistance levels - 1.6393 (Aug 23 high), 1.6469 (June 2016 high), 1.65, 1.6545 (50% Fib retrace of 1.8555 to 1.45348 fall)
Recommendation: Good to go long on dips around 1.63, SL: 1.6150, TP: 1.64/ 1.6470/ 1.6545
FxWirePro Currency Strength Index: FxWirePro's Hourly EUR Spot Index was at 68.8578 (Neutral), while Hourly NZD Spot Index was at -137.646 (Bearish) at 0540 GMT. For more details on FxWirePro's Currency Strength Index, visit http://www.fxwirepro.com/currencyindex.
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