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FxWirePro: EUR/NZD losses could deepen with a break of key obstacles

• EUR/NZD declined on Monday as recession fears in Eurozone and uncertainty surrounding the war in Ukraine weighed on euro.

• Eurozone investor sentiment fell to its lowest level in nearly two years, a sentix survey showed on Monday, as uncertainty push the bloc into recession.

• Bearish signals further  increased  after todays drop.Pair falls sharply below the 5-DMA & 38.2%fib retracement level

• Technical signals are bearish as RSI is turning lower, daily momentum studies  5, 9 and 10 DMAs are trending down. 

• Immediate resistance is located at 1.5898 ( 38.2%fib), any close above will push the pair towards 1.5996 (Daily high)

• Support is seen at 1.5688 (Lower BB ) and break below could take the pair towards 1.5633 (23.6%fib).

Recommendation: Good to sell on rally around 1.5790, with stop loss of 1.6100 and target price of 1.5680.

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