• NZD/USD steadied around 0.6020 on Tuesday as market focus shifted to the upcoming interest rate decision by Reserve Bank of New Zealand.
• The Reserve Bank of New Zealand (RBNZ) is scheduled to announce its latest policy decision on Wednesday, drawing close attention from investors and market participants.
• Current market pricing suggests an 80% probability that the central bank will keep its Official Cash Rate (OCR) steady at 3.25%.
• After undertaking one of its most aggressive tightening campaigns to curb inflation, the Reserve Bank of New Zealand has reversed course, slashing interest rates by 225 basis points since August. This policy shift has helped stabilize an economy that emerged from recession last year.
•At GMT 06:39, the New Zealand dollar was trading down 0.41% at 0.6018 against the greenback.
• Immediate resistance is located at 0.6079(23.6%fib), any close above will push the pair towards 0.6109 (Higher BB).
• Support is seen at 0.5993(38.2%fib)and break below could take the pair towards 0.5920(38.2%fib).
Recommendation: Good to buy around 0.6010 with stop loss of 0.5930 and target price of 0.6100
