17 Jul 2014
NZD/USD: Top in place? RBNZ next week key
FXStreet (Bali) - NZD/USD's heavy sell-off since early in the week found temporary support at 0.8690, lowest since June 26, from where a timid bounce towards 0.8715-20 area has been seen.
The large 1.5 cents decline off 0.8825 resistance zone, jut a few pips below the 2011 high, has raised the technical prospects for what might become an even larger bearish run after the pair cleared an important swing low at 0.8720.
The next big catalyst for fresh flows to enter the NZD market is not expected until next week, July 23, when the RBNZ will update its monetary policy settings, with most market commentators expecting yet another 25bp rate hike from 3.25% to 3.5%.
The large 1.5 cents decline off 0.8825 resistance zone, jut a few pips below the 2011 high, has raised the technical prospects for what might become an even larger bearish run after the pair cleared an important swing low at 0.8720.
The next big catalyst for fresh flows to enter the NZD market is not expected until next week, July 23, when the RBNZ will update its monetary policy settings, with most market commentators expecting yet another 25bp rate hike from 3.25% to 3.5%.