• EUR/NZD steadied around 1.9880 after the Federal Reserve cut interest rates by a quarter of a percentage point..
• The Federal Open Market Committee lowered the benchmark rate to 4.00%–4.25%, matching market expectations, even as President Trump pressed for a larger cut.
• Fed Chair Powell called the rate cut a risk-management move, saying policy will be decided “meeting by meeting” with no rush to adjust further..
• Fed Governor Christopher Waller and Vice Chair Michelle Bowman, both Trump appointees, supported the shift to a steadier pace of cuts after dissenting against the July decision to keep rates unchanged.
• Technicals are favouring bullish sentiment as RSI is at 55 and the pair is trading above 11,14 & 21-DMAs.
• Immediate resistance is located at 1.9816 (SMA 20), any close above will push the pair towards 2.0000(23.8% fib).
• Strong support is seen at 1.9630 (38.2% fib) and break below could take the pair towards 1.9575(Lower BB).
Recommendation: Good to sell on dips around 1.9870, with stop loss of 1.9730 and target price of 2.0000
