FxWirePro: NZD/USD extends pullback from 3-month high, 'Bearish Divergence' drags the pair lower

NZD/USD chart - Trading View 

NZD/USD was trading 0.48% lower on the day at 0.7256 at around 08:30 GMT, after closing 0.20% higher in the previous session. 

The major is showing some weakness and is slipping lower from 3-month highs at 0.7316 hit on Wednesday's trade.

The kiwi was buoyed after a hawkish Reserve Bank of New Zealand policy outcome earlier this week.

The RBNZ left interest rate unchanged and surprised markets by re-introducing the conventional OCR forecast which showed a 150bps tightening between Q3 2022 and Q3 2024.

Kiwi buoyed across the board after RBNZ decision and statement, NZD/USD saw 4 consecutive days of upside.

Support levels - 0.7251 (5-DMA), 0.7220 (21-EMA), 0.7198 (200-month MA)

Resistance levels - 0.73, 0.7320 (88.6% Fib), 0.74 (psychological mark)

Summary: NZD/USD weighed down by a bearish RSI divergence on the daily charts. Major trend for the pair remains bullish. Pullbacks are likely to be shallow. Cloud offers strong support at 0.72 mark. Major weakness only below 200-DMA.