Morgan Stanley: EUR/NZD could break below 200-day MA

The resumption of the Sino-US trade talks and the resulting stability in China's Yuan will bode well for the New Zealand Dollar, according to analysts at Morgan Stanley. 

The NZD trades best when the Chinese currency is stable or gaining ground. The Morgan Stanley analysts, therefore, believe there is a good change of EUR/NZD breaking below its 200-day moving average in the near-term. 

The EUR/NZD pair is currently trading at 1.6915 and its 200-day moving average is located at 1.6904.