• EUR/NZD steadied on Monday as risk sentiment improved on growing expectations of a U.S. interest rate cut next month, while investors also focused RBNZ November meeting.
• Investors widely expect a 25-basis-point rate cut from the RBNZ on Wednesday, but are divided on whether more cuts will come in 2026.
• Traders will closely watch the RBNZ’s guidance following the rate decision, with analysts suggesting this could be the final cut in the current easing cycle unless global conditions worsen significantly.
• Meanwhile, German business morale unexpectedly declined in November, a survey revealed on Monday, as companies grow pessimistic about an economic recovery after two years of contraction.
• Immediate resistance is located at 2.0667(23.6%fib), any close above will push the pair towards 2.0746(Higher BB).
• Immediate support is seen at 2.0428 (SMA 20) and break below could take the pair towards 2.0324(38.2%fib).
Recommendation: Good to buy on dips around 2.0520 with stop loss of 2.0410 and target price of 2.0700
