EURNZD is approaching the 38.2% Fibonacci level

The Euro is under pressure because of Italy’s budget deadline and the Brexit impasse. On the other side, the New Zealand’s interest rate remained unchanged at 1.75%, while its unemployment rate (3.9%) dropped to near 10-year low. Today’s agenda include New Zealand’s Food and Price Index (Previous: -0.1%), although it is not expected high volatility.

From a weekly technical scope, EURNZD is currently approaching the 38.2% Fibonacci support level, while Stochastics is oversold. Both may indicate a reversal.



Heading to the daily timeframe, RSI is highly oversold, while CCI is flirting with -100 level to the upside. The daily setup works supportively to a potential reversal towards the trendline (T1), which offers a possible bullish opportunity.



On the other hand, if price violates the 38.2% Fibonacci level, then the scenario is busted.

Always review your own analysis. If there is a confluence between the current study and your own strategy, then you may have even better trading setups.