• EUR/NZD edged lower on Friday as investors digested New Zealand consumer confidence and German economic data.
• German inflation cooled further in May, edging closer to the ECB’s 2% target and strengthening the case for a rate cut next week.
• Inflation eased to 2.1% in May, down from April’s 2.2%, the federal statistics office reported Friday, citing preliminary harmonized data for cross-country comparison..
• German retail sales fell by 1.1% in April compared with the previous month, data showed on Friday. Analysts had predicted a 0.2% increase.
•The New Zealand consumer confidence index fell to 92.9 in May from 98.3 in April. A reading above 100 shows optimism, while below that indicates pessimism.
• Immediate resistance is located at 1.9163 (Higher BB), any close above will push the pair towards 1.9223(38.2%fib).
• Immediate support is seen at 1.9016(23.6%fib) and break below could take the pair towards 1.8834(Lower BB).
Recommendation: Good to buy around 1.9000, with stop loss of 1.8900 and target price of 1.9100
