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FxWirePro: EUR/NZD short covering drives gains, broader trend remains downward

• EUR/NZD edged  higher  on Friday as the pair held most of the days gains on short covering.

• EUR/NZD has seen a 1.8078-1.7955 range on Friday, it was last trading at 1.8063 .

• A close below   50%  fib  support  will give further momentum to bears, opening the way for a run towards 1.7850 level.

• Technical signals are bearish as RSI is lower at 46  , daily momentum studies  5, 9 and 10 DMAs are trending down.

•   Immediate resistance is located at 1.8078(38.2%fib), any close above will push the pair towards 1.8114( 5DMA)

•  Strong support is seen at 1.7955 (50%  fib) and break below could take the pair towards 1.7832(61.8%  fib).

  Recommendation: Good to sell around 1.8070, with stop loss of 1.8190 and target price of 1.8000

 

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