• EUR/NZD strengthened on Thursday as euro firmed as concerns over a potential trade war between the United States and the Eurozone deepened.
• Trade war fears escalated as the EU prepares retaliatory tariffs in response to Trump’s 25% auto tariffs, which are set to take effect on April 2.
• The European Commission announced on Thursday that the European Union is preparing a response to Trump’s new import tariffs on vehicles.
• Investors are worried that Trump's tariffs would stoke inflation and hinder economic growth .
• The focus next week will be on the form Trump's long-promised reciprocal tariffs take on April 2.
• Immediate resistance is located at 1.8891( 38.2% fib), any close above will push the pair towards 1.9044(23.6% fib)
• Support is seen at 1.8759(50%fib) and break below could take the pair towards 1.8626(61.8%fib)
Recommendation: Good to buy around 1.8800, with stop loss of 1.8700 and target price of 1.8880
