• NZD/USD edged lower from one week high on Friday as trade thinned ahead of the U.S. Thanksgiving holiday.
• The Reserve Bank of New Zealand cut rates on Wednesday but said a hold was discussed and flagged that the easing cycle was likely over. Helped by some strong economic data on Thursday, markets see rates going higher and price in a hike by December 2026.
•That contrasts with more than 90 basis points of cuts priced for the U.S. Federal Reserve between now and the end of next year.
•Data showed on Thursday showed, New Zealand retail sales rose in the third quarter, while business confidence jumped to its highest in a year.
•The kiwi has risen almost 2% so far this week, heading for its strongest weekly performance since April.
• Immediate resistance is located at 0.5758 (Higher BB), any close above will push the pair towards 0.5770(50%fib).
• Support is seen at 0.5689(38.2%ib) and break below could take the pair towards 0.5654(SMA 20).
Recommendation: Good to buy around 0.5710, with stop loss of 0.5650 and target price of 0.5770
