EURNZD: ECB June meeting=RBNZ August meeting
Read: RBNZ Review
At June’s ECB meeting the rate hike timing factor triggered the tremors, sent EURSUD to 1.1560 down nearly 2.0%. Fast forwarding to today’s RBNZ meeting, NZD tumbles after RBNZ delay rate hike for another year. At the time of writing NZD down more than a percent across the board.
The cross just has been run through the higher end of the descending wedge pattern and finally breach the early July high too. The erosion of these is highly encouraging us to focus on Dec 2017 high seems to be at 1.7479. A weekly close above the barrier 1.7479 rounded to 1.7500 would be needed to initiate further pronounced recovery to 1.770 and 1.780 in the coming weeks.
The 200MAs on the monthly chart spread between 1.7730 and 1.8000 levels. The supports are finds at 1.73301.7230 and 1.7120.
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