Technical summary:
EUR/NZD took another deep dive from 1.5991 to 1.5792, but we should see support at 1.5789 to protect the downside for a break above minor resistance at 1.5855 calling for a new rally towards 1.600. Above here, it will confirm the next rally higher to 1.6273 on the way higher to 1.6446 and 1.6800 in a longer term. Only an unexpected rally below 1.5789 will delay the expected rally for a decline closer to 1.5722, but the downside potential should be limited. Under no circumstance, a break below 1.5688 can be accepeted as it will invalidate the bullish scenario.
Trading recommendation:
We are long in EUR from 1.5830 with our stop place at 1.5775. If you are not long in EUR yet, then buy a break above 1.5855 and use the same stop at 1.5775.
The material has been provided by InstaForex Company - www.instaforex.com
