The annual inflation rate in the Euro Area slowed to 2.4% in February 2025, down from 2.5% in January, which was a six-month high. However, it remained slightly above market expectations of 2.3%, according to a preliminary estimate. Meanwhile, core inflation, which excludes food and energy prices, also declined to 2.6%, slightly surpassing forecasts of 2.5% but reaching its lowest level since January 2022.
In response, EURNZD surged higher, extending its gains from last week. However, the pair encountered minor resistance near a six-month high of 1.8648. According to technical analysts, this level is likely to hold, potentially leading to a slight pullback before the next move unfolds, but if the level doesn’t hold, then the next potential target to the upside would be 1.8800
UP COMING CATALYST:
For the remainder of the week, markets are gearing up for a series of high-impact events that could shake up volatility.
The action kicks off with a speech from the RBNZ Governor on Thursday, March 6, at 12:30 AM GMT+4, setting the stage for market sentiment. Shortly after, attention shifts to the Euro Summit, where policymakers will navigate key economic discussions.
Later that day, all eyes will be on the Eurozone’s main refinancing rate, widely expected to be cut by 25bps, followed by a press release that could set the tone for future monetary policy.
With this major speeches and policy decisions unfolding, markets could see heightened volatility bringing both risks and opportunities for traders looking to capitalize on the momentum.
LEVELS TO WATCH OUT FOR THE WEEK:
To the upside, buyers will likely aim to break the 1.8648 resistance level, paving the way for a move toward the psychological levels of 1.8800 and 1.9000.
On the downside, sellers will be targeting key support levels, potentially looking for a retracement if momentum shifts in their favor towards 1.8412, 1.8221, 1.8000 and 1.7789 breakout of these levels are not ruled out.
In response, EURNZD surged higher, extending its gains from last week. However, the pair encountered minor resistance near a six-month high of 1.8648. According to technical analysts, this level is likely to hold, potentially leading to a slight pullback before the next move unfolds, but if the level doesn’t hold, then the next potential target to the upside would be 1.8800
UP COMING CATALYST:
For the remainder of the week, markets are gearing up for a series of high-impact events that could shake up volatility.
The action kicks off with a speech from the RBNZ Governor on Thursday, March 6, at 12:30 AM GMT+4, setting the stage for market sentiment. Shortly after, attention shifts to the Euro Summit, where policymakers will navigate key economic discussions.
Later that day, all eyes will be on the Eurozone’s main refinancing rate, widely expected to be cut by 25bps, followed by a press release that could set the tone for future monetary policy.
With this major speeches and policy decisions unfolding, markets could see heightened volatility bringing both risks and opportunities for traders looking to capitalize on the momentum.
LEVELS TO WATCH OUT FOR THE WEEK:
To the upside, buyers will likely aim to break the 1.8648 resistance level, paving the way for a move toward the psychological levels of 1.8800 and 1.9000.
On the downside, sellers will be targeting key support levels, potentially looking for a retracement if momentum shifts in their favor towards 1.8412, 1.8221, 1.8000 and 1.7789 breakout of these levels are not ruled out.
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.
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.