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FxWirePro: EUR/NZD maintains bullish bias with focus on 2.0700 level

• EUR/NZD advanced  on Thursday as  kiwi dollar was weighed down by strong expectations of another RBNZ rate cut.

• With another rate cut fully anticipated, markets are now awaiting the Reserve Bank of New Zealand’s policy meeting next week.

• After October’s surprise 50-bps cut, markets are betting on additional RBNZ easing, as weakening inflation expectations, deteriorating business confidence, and sluggish domestic demand continue to justify lower rates.

• Meanwhile,traders will keep an eye on New Zealand’s October trade data due Friday, including export and import totals as well as monthly and annual trade balance results

• Immediate resistance is located at 2.0654(23.6%fib), any close above will push the pair towards 2.0766(Higher BB).

• Immediate support is seen at 2.0467 (Nov 20th low) and break below could take the pair towards 2.0374(38.2%fib).

Recommendation: Good to buy on dips around 2.0580 with stop loss of 2.0460 and target price of 2.0700
 

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