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FxWirePro:EUR/NZD longs struggle to hold gains after soft China data

• EUR/NZD initially gained on Wednesday but gave up   ground on worries about a slowing Chinese economy.

• Chinese data showed factory and retail sales growth cooled more sharply than expected last month.

• At GMT 17:35, the pair was trading down 0.05 percent  at 1.6620 after reaching daily high at 1.6685.

• Technical signals are bearish as RSI is at 41, daily momentum studies  9,11 and 21 DMAs are trending down. 

• Immediate resistance is located at 1.6655(38.2%fib ), any close above will push the pair towards 1.6570(23.6%fib).

• Strong support is seen at 1.6606(50% fib) and break below could take the pair towards 1.6548 (61.8% fib).

Recommendation: Good to sell  around 1.6620, with stop loss of 1.6750 and target price of 1.6550

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