The price of currency pair EUR/NZD stands at a two-keen high. The price of the currency pair, at the time of writing, has increased by 0.68 percent. Some of the market experts are saying that one of the major reasons for the success of the EUR is the optimist regarding the Covid-19 vaccine. Also, as some have said, if the EUR/NZD could go over 1.7166, greater gains might be coming in the coming days.
Some of the best Forex brokers in the market have reported that the prices of the EUR have been increasing over the past few days in many pairs. One of the main reasons for it is the positive news regarding the Covid-19 vaccine, which is now being reviewed by European countries for approval.
Also, the deadline for the Brexit deal is coming up as well, however, there still are no signs of finalization of the process. Some are speculating that there might be a no-deal Brexit. The representatives of the EU have been very strict with the recent statements, saying that if there is no deal in the nearest future, there will not be a point in continuing the discussions anymore.
The market changes indicate that the price of the EUR is also increasing in other pairs as well, such as EUR/USD. The currency has rallied nearly 5% off the November lowes against the US dollar, some experts are claiming that it might continue increasing in the future as well. However, considering the uncertainty that is in the market because of the pandemic, it is very hard to predict anything at this point.
Prices of EUR/NZD over the last few months
The candlestick chart shown above indicates the price changes of the currency pair, EUR/NZD. As you can see from the chart above, the prices of the currency pair have changed drastically over the year. The chart shows the prices of the currency pair starting from August 4.
At first, the prices of the currency pair has been increasing. However, it started going down very fast quickly. It had an unstable period during the first half of the Fall, and since October Euro started falling significantly. This might be connected to the second wave of the Covid-19 pandemic.
At the beginning of fall, the Covid-19 started spreading faster in Europe. One of the major reasons was that most of the countries had lifted restrictions, which has increased mobility in the region. In turn, it increased the daily cases of the coronavirus. As a result, most of the countries had to adopt new restrictive measures to slow down the spread of the virus.
After this, the Euro started dropping significantly in many pairs. As of now, as the hopes for the Covid-19 vaccine are increasing, Euro is starting to go up again. For the last few weeks, this trend was noticeable in the market and it is continuing now as well.
There are several companies that are working to develop the Covid-19 vaccine. As of now, Europe is discussing the adoption of the vaccines. Recently, the UK passed a vaccine, and there, people will be able to get vaccines for Covid in the following weeks. As for Europe, professionals are hoping to pass the vaccine before the New Year and make it available in the first few weeks of 2021.
Once the Covid-19 vaccine is approved in Europe and people start taking it, the mobility in the region will get back to the normal state in a few months. This means that most of the economy of the region will continue to function as usual, which can help the state of the Euro.
Also, the discussions about the Brexit trading deal should be over before the New Year. However, it is very much unclear at this point whether there be a deal or not. This could further influence the performance of the Euro in the trading market. So, if you are planning to start trading Euro pairs, make sure to stay up to date with the current ongoing events in the region.