• EUR/NZD strengthened on Friday as the New Zealand dollar stayed under pressure despite the Reserve Bank of New Zealand’s hawkish policy stance..
•Market participants had expected that declining oil prices—driven by prospects of higher global supply would lift overall risk sentiment and provide support to risk-sensitive currencies such as the New Zealand dollar.
• However, concerns about slowing global growth and weakening demand have limited any positive impact from lower energy costs.
• Immediate resistance is located at 2.0237(23.6%fib), any close above will push the pair towards 2.0257 (Higher BB)
• Immediate support is seen at 2.0149 (38.2%fib) and break below could take the pair towards 2.0008(50%fib).
Recommendation: Good to buy around 2.0250 with stop loss of 2.0150and target price of 2.0350
