• NZD/USD slipped lower as market focused Reserve Bank of New Zealand’s rate decision on Wednesday.
• The Reserve Bank of New Zealand meets on Wednesday where a rise in the current 2.25% cash rate is widely expected. .
• Markets are 75% priced for a move after the board delivered a hawkish hold in May with three of the board members voting for a hike..
•Markets will focus on the RBNZ's policy statement for guidance on the path of further tightening, as the majority of economists anticipate another increase to 2.75% by September.
•Economic growth in New Zealand is forecast to recover to 1.7% this year from a subdued 0.2% in 2025, before strengthening to 2.4% in 2027.
• Immediate resistance is located at 05731(SMA 20), any close above will push the pair towards 0.5748(38.2%fib).
• Support is seen at 0.5627(23.6%fib)and break below could take the pair towards 0.5595(Lower BB).
Recommendation: Good to sell around 0.5700 with stop loss of 0.5830 and target price of 0.5630
