RBNZ Doesn’t Fire a Shot and Support Holds: Upside Ahead?
Rowan Crosby • 1 min read
While everyone has been busy FED watching and the RBNZ snuck through under the radar.
There was no real change as expected and many saw the RBNZ as simply treading water.
The next move by the RBNZ will be a hike. But we got no insight into when that might be. The FED is certainly taking the lead and pushing up rates hard.
0.7200 is a pretty big support level and we gave it a real test in trade yesterday. The USD had been making up ground in the days leading up to the FOMC, however, that all changed in the blink of an eye.
The commodity currencies jumped sharply and now we need to be looking at where they could potentially get to.
0.7250 is the obvious overhead resistance level at the moment. But if the USD gains momentum on Thursday then we will be struggling to contain it.
If we can hold above 0.7300 then in the short-term we might start finding some more upside once again. For the most part, it looks like 0.7200 will continue to hold-up.
NZD/USD – 240 min Chart.