NZDUSD hovers near 0.5950, hemmed in by resistance at 0.5948–0.5975 and support around 0.5930–0.5941. The pair remains trapped within a short‑term bearish channel despite occasional intraday rebounds.
The Reserve Bank of New Zealand held rates at 3.25% on July 9, delivering a sixth consecutive cut and hinting at further easing in August amid sluggish growth and subdued inflation. Recent minutes confirmed a dovish tilt, weighing on kiwi sentiment.
Across the Pacific, the US dollar has regained ground, propped up by firmer Treasury yields and tempered Fed rate‑cut hopes as tariff-driven inflation pressures seep into core goods. Lingering trade tensions also keep USD in demand as a safe‑haven.
In the near term, NZDUSD looks poised to drift between 0.5930 and 0.5975. A clean break above resistance could open 0.6000, while a drop below support risks a slide toward 0.5900–0.5920. Watch for RBNZ signals and US PPI data to shape the next move.
NZDUSD – H4 Timeframe
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NZDUSD on the 4-hour timeframe chart is slowly inching towards the drop-base-rally demand zone and is expected to experience some bullish pressure around that zone. The trendline support and the 88% Fibonacci retracement level provide additional confluence in favor of the bullish sentiment.
Direction: Bullish
Target- 0.60415
Invalidation- 0.58651
CONCLUSION
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