EUR/NZD Exchange Rate Holds Bullish Bias Despite Recent Decline

The EUR/NZD exchange rate has experienced a decline in recent trading sessions, but market analysts believe that the bullish bias remains intact. Despite the current downturn, the pair is expected to rebound and continue its upward trend. The European economy has shown signs of improvement, with the European Central Bank (ECB) maintaining a dovish stance on monetary policy. This has led to an increase in investor confidence, which is likely to support the euro in the coming weeks. On the other hand, the New Zealand economy has been facing challenges, including a decline in dairy prices and a slowdown in the housing market. The Reserve Bank of New Zealand (RBNZ) has also been under pressure to cut interest rates, which could further weaken the kiwi dollar. The EUR/NZD exchange rate is currently trading at around 1.70, with a range of 1.65 to 1.75 expected in the short term. Technical analysis suggests that the pair is likely to find support at the 1.65 level, while resistance is expected at 1.75. The relative strength index (RSI) is currently at 50, indicating a neutral bias. However, the moving average convergence divergence (MACD) is showing a bullish signal, which could lead to a rebound in the pair. Market analysts are advising investors to buy the EUR/NZD pair on dips, with a target price of 1.80. The exchange rate is also expected to be influenced by the upcoming European Union (EU) summit, where leaders will discuss the ongoing Brexit negotiations. A positive outcome from the summit could lead to a surge in the euro, while a negative outcome could result in a decline. The EUR/NZD exchange rate is also likely to be affected by the release of economic data from both Europe and New Zealand, including GDP growth rates and inflation figures. Overall, while the EUR/NZD exchange rate has declined in recent trading sessions, the bullish bias remains intact, and investors are advised to remain optimistic about its future performance.

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