• EUR/NZD strengthened on Monday euro was supported after data showed German business morale rose more than expected in December.
• German IFO expectations rose to 83.2 in December , beating 82.0 forecast and prior 80.0.
• EUR/NZD jumps to 1.6694 after the data , consolidation is likely to to continue towards 1.6750 level.
• Technical signals show the pair could gain more ground in the short-term as RSI is at 54 bullish, daily momentum studies 5, 9 and 11 DMAs are trending up.
• Immediate resistance is located at 1.6694 (Daily high), any close above will push the pair towards 1.6785(Higher BB).
• Strong support is seen at 1.6597(5DMA) and break below could take the pair towards 1.6562(50%fib )
Recommendation: Good to buy around 1.6650, with stop loss of 1.6550and target price of 1.6720
