FxWirePro: EUR/NZD struggle to extend its gains,good to sell on rally

• EUR/NZD initially gained on Monday but ran out of steam as worries about China’s economy weighed on risk sentiment.

• EUR/NZD  nears 1.6718(23.6%fib) before pulling back near 1.6675 in late US session,   technical  remain bearish  , rallies are likely to be limited.

•From a technical viewpoint, the moving averages  14DMA,21DMA and 30 DMA’s are pointing downwards, while the RSI  is   bearish at 46.

• Immediate resistance is located at 1.6718 (23.6%fib), any close above will push the pair towards 1.6824 (2nd Sep high).

• Immediate support is seen at 1.6655 (38.2%fib) and break below could take the pair towards 1.6600(50%fib).

Recommendation: Good to sell  around 1.6690, with stop loss of 1.6800 and target price of 1.6600