The New Zealand (NZD) traded choppy post-RBNZ and press conference. NZD was last at 0.5893 levels, OCBC’s FX analysts Frances Cheung and Christopher Wong note.

Bearish momentum on daily chart shows signs of fading

“Gains in NZD post-decision was partially erased when Governor Orr’s press conference gets underway. In particular, Orr said that track implies steeper cash rate decline than Aug and that forward projection is consistent with 50bp cut in Feb-2025. Orr’s remarks suggest that RBNZ is not about to change pace of cut.”

“Bearish momentum on daily chart shows signs of fading while RSI rose from near oversold conditions. Technical bunce not ruled out. Resistance at 0.5915 (21 DMA), 0.60 (61.8% fibo retracement of 2023 low to 2024 high). Support at 0.5810, 0.5770 levels (2023 low).