Analysis of the New Zealand euro pair

At the economic level:

From the eurozone the ECB recently cut interest rates by 25 basis points as expected and in general we did not get anything new, as the central bank remains dependent on data on the pace and scale of cuts, and the latest Purchasing Managers ' Indices also showed an encouraging recovery in activity.

On the other side of New Zealand, a 25 basis point interest rate cut this month seems very likely , as expectations indicate that the Bank of New Zealand will cut interest rates by 110 basis points during 2025.

On the technical side:

The pair is trying to form a bat harmonic pattern on the four-hour frame down to the supply zone centered near 1.8480 to 1.8510, from which it is possible to wait for a pullback of the pair due to the presence of a strong cluster zone and also daily downtrend levels.

We then target the 1.8350 levels as the initial target and then the 1.8250 levels as the final target.

This scenario fails if the 1.8550 levels break higher.