Why is the EUR/NZD pair in the spotlight as the week comes to an end?
At the beginning of this year, the euro rose by more than 6%, reaching its highest levels since November 2024. Meanwhile, the New Zealand dollar was experiencing a decline at the end of last year, touching its lowest levels since October 2022. But what has changed this week?
From the beginning of February until today's trading session on March 25, 2025, the New Zealand dollar has risen by approximately 4.37%, breaking through the 0.57729 level. This level represents the last significant lower high recorded in the market, and surpassing it indicates a shift in trend from bearish to bullish. From a technical perspective, this is considered a positive signal for the New Zealand dollar in the short to medium term.
On the other hand, after reaching its highest levels since October 2022, the euro has shown some declines and weakening bullish momentum this week. If the U.S. dollar index experiences a corrective rise, further weakness in the euro is expected.
In this scenario, we have a positive outlook for the New Zealand dollar and a negative outlook for the euro, increasing the likelihood of a decline in the EUR/NZD pair, especially since it is currently trading at its highest levels since March 2020!
The recent rise in EUR/NZD gave a bearish signal during this week's trading after breaking below the 1.87675 level (which represents the last significant high low recorded) and forming a lower low. The recent rise to the 1.90668 level appears to be a corrective move before continuing the downward trend toward the 1.88120 level. However, the bearish scenario would be invalidated if the price rises above 1.91663 and closes daily above this level.
At the beginning of this year, the euro rose by more than 6%, reaching its highest levels since November 2024. Meanwhile, the New Zealand dollar was experiencing a decline at the end of last year, touching its lowest levels since October 2022. But what has changed this week?
From the beginning of February until today's trading session on March 25, 2025, the New Zealand dollar has risen by approximately 4.37%, breaking through the 0.57729 level. This level represents the last significant lower high recorded in the market, and surpassing it indicates a shift in trend from bearish to bullish. From a technical perspective, this is considered a positive signal for the New Zealand dollar in the short to medium term.
On the other hand, after reaching its highest levels since October 2022, the euro has shown some declines and weakening bullish momentum this week. If the U.S. dollar index experiences a corrective rise, further weakness in the euro is expected.
In this scenario, we have a positive outlook for the New Zealand dollar and a negative outlook for the euro, increasing the likelihood of a decline in the EUR/NZD pair, especially since it is currently trading at its highest levels since March 2020!
The recent rise in EUR/NZD gave a bearish signal during this week's trading after breaking below the 1.87675 level (which represents the last significant high low recorded) and forming a lower low. The recent rise to the 1.90668 level appears to be a corrective move before continuing the downward trend toward the 1.88120 level. However, the bearish scenario would be invalidated if the price rises above 1.91663 and closes daily above this level.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.