• EUR/NZD dipped on Monday as rise in commodity prices boosted the commodity-price sensitive New Zealand dollar.
• EUR/NZD scope is for a collapse under major 1.6623 23.6% fibo support. Break below the 23.6% fibo would see much bigger losses in coming sessions.
• Technical signals show the pair could gain more ground in the short-term as RSI is at 45 bearish, daily momentum studies 5, 9 and 11 DMAs are trending down.
• Immediate resistance is located at 1.6674 (5DMA), any close above will push the pair towards 1.6728 (38.2%fib).
• Strong support is seen at 1.6623 (23.6%fib) and break below could take the pair towards 1.6551 (Lower BB )
Recommendation: Good to sell around 1.6650, with stop loss of 1.6720 and target price of 1.6470
