EURNZD Bearish Rejection from Range High – Eyes on 1.8805EURNZD is showing signs of a clear rejection from the 1.9150 resistance level, which has held firm over the past few weeks. The pair has remained range-bound between 1.9150 and 1.8800, and the recent bearish candlestick formation near the top of this range suggests renewed selling pressure. Unless price breaks above 1.9150 with strong momentum, the path of least resistance appears to be to the downside, with the next key support target at 1.8805. Traders should watch for follow-through below 1.8900 to confirm bearish continuation.
Technical Overview:
Structure: Price has formed a clear range between 1.9156 resistance and 1.8805 support.
Current Price: 1.8974 (as of chart capture).
Pattern: A potential bearish move is forming after rejection near the range high. The price has begun pulling back from the resistance zone.
Key Levels:
Resistance: 1.9156 (recent swing high).
Support: 1.8805 (horizontal level, tested multiple times).
Downside Target: If bearish momentum continues, the price may revisit 1.8805.
Breakout Potential: A close below 1.8805 may lead to acceleration toward 1.8725 or even 1.8600.
Fundamental Context:
Euro (EUR):
ECB is maintaining a cautious stance; inflation is moderating, but core pressures persist.
Risk of a pause or cut in rates in H2 2025, depending on inflation data.
New Zealand Dollar (NZD):
RBNZ is maintaining hawkish bias amid sticky inflation.
Recent data on NZ retail sales has been stable, but growth remains fragile.
Conclusion:
Bias: Bearish below 1.9156.
Setup: Look for a confirmed lower high and strong bearish candle close for potential short entries toward 1.8805.
Confirmation: Break and retest of 1.8900 zone would add conviction.
