The RBNZ rate decision sent the NZDUSD higher into swing area resistance. What next?

The RBNZ kept rate unchanged but raised their rate projections going forward. That was more hawkish and sent the NZDUSD higher. However after reaching swing area resistance between 0.6148 in 0.6159, buyers turned to sellers. Gov. Orrs comments were thought to be less hawkish, helping to push the price back down.

That move lower has taken the price back to the 50% midpoint of the move down from the December high to the April low. That level comes in at 0.61096. The price has been trading above and below that level in the early New York session, as traders look for the next directional move.

If the price goes lower, the 100 day moving average at 0.60712 is the next key target to get to and through. On the topside, 0.6139 and the swing area between 0.6149 and 0.6159, remain the levels needed to get through to increase the bullish bias..

The buyers had their shot, but ran into technical resistance. Can the sellers push lower? For now, buyers and sellers are battling it out at a neutral midpoint level.

This article was written by Greg Michalowski at www.forexlive.com.