Since last week’s RBNZ cut from 5.50% to 5.25% the New Zealand Dollar (NZD), Australian Dollar (AUD) cross hasn’t done a whole lot sitting around the 0.9080 (1.1015) area over the past few days. We are quite surprised to see the kiwi hold these levels given the overall strength in the AUD with extending highs in commodities, and an unwillingness by the RBA to change policy based on upside risks to inflation. RBA monetary minutes form the last RBA release is later today and should confirm the banks hawkish position. Fib markers suggest technically the pair could struggle to breach .9070 (1.1030) for now. However, if risk sentiment holds positive this should assist the AUD more than the kiwi.
Current Level: 0.9092
Resistance: 0.9140
Support: 0.8980
Last Weeks Range: 0.9044 – 0.9147