• NZD/USD firmed on Tuesday as markets increasingly bet that the RBNZ will begin lifting rates later this year supported kiwi dollar.
• The Reserve Bank of New Zealand is set to meet on February 18, marking the first policy meeting under new Governor Anna Breman, who is expected to outline her vision for the future path of monetary policy.
• Markets are pricing in a potential increase in New Zealand’s interest rates, though expectations point to July at the earliest for any hike.
New Zealand’s quarterly labour market report is scheduled for Wednesday. Analysts expect employment to rise by 0.3% quarter-on-quarter, while the unemployment rate is forecast to remain steady at 5.3%.
• Immediate resistance is located at 0.6041(Daily high), any close above will push the pair towards 0.6087(23.6%fib).
•Support is seen at 0.5992 (38.2%fib) and break below could take the pair towards 0.5915(50%fib).
Recommendation: Good to buy around 0.6020 with stop loss of 0.5920 and target price of 0.6070
