FxWirePro- Currency Strength Index (4- Hour chart)- Currency pairs to watch(USDCAD and EURJPY) for the day
FxWirePro- Currency Strength Index (4- Hour chart)- Currency pairs to watch(AUDUSD and CADJPY) for the day
FxWirePro: EUR /NZD runs out of steam but maintains bullish outlook
• EUR/NZD recovered some ground from initial decline on Thursday as investors focused on rate hike bets by ECB.
• Markets currently price 107 basis points of rate hikes for the rest of the year, or a little more than a quarter percent increase at each policy meeting from July onwards.
• Technical signals show the pair could gain more ground in the short-term as RSI is at 61 bullish, daily momentum studies 5, ,9,11 DMAs are turning up.
• Immediate resistance is located at 1.6631(38.2% fib), any close above will push the pair towards 1.6701 ( 16th May high).
• Immediate support is seen at 1.6548 (5DMA) and break below could take the pair towards 1.6472(50% fib).
Recommendation: Good to sell around 1.6580, with stop loss of 1.6472 and target price of 1.6400.