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FxWirePro: EUR/NZD slide extended ahead of ECB rate decision, scope for further downside

• EUR/NZD declined sharply  on Wednesday  as   euro continued to weaken  against kiwi dollar as focus shifted to the European Central Bank's key rate decision .|

• The ECB meets on Thursday, and money markets price in an almost certain chance of a first interest rate cut.

• The euro was 0.32% lower against the kiwi dollar at 1.7557 , The pair traded in range 1.7626 / 1.7543 on Wednesday.

• From a technical viewpoint, RSI  is strongly bearish at 31, daily momentum studies, 5, 9 and 11 are trending down.

• Immediate resistance is located at 1.7623(Daily high), any close above will push the pair towards 1.7660(38.2%fib).

• Immediate support is seen at 1.7543 (23.6%fib) and break below could take the pair towards 1.7493 (Lower BB).

Recommendation: Good to sell  around 1.7600  , with stop loss of 1.7700   and target price of 1.7530 
 

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