AUD/NZD soars to fresh 2015 highs after RBNZ unexpectedly cut rates

FXStreet (Córdoba) – The kiwi weakened sharply and broadly, losing nearly 250 pips against its Australian peer, after the Reserve Bank of New Zealand unexpectedly decided to cut the official cash rate (OCR) by 25 bps to 3.25% while keeping the doors open to ease monetary policy even further down the road.

AUD/NZD decisively above former June highs at the 1.0915 area and the 1.1000 psychological level to hit its highest level since November 19 2014 at 1.1020. At time of writing, the pair is trading at 1.0965, 1.8% above its NY closing price.

AUD/NZD technical levels

In terms of technical levels, if NZD continues to weaken, AUD/NZD could find next resistances at 1.1020 (2015 high Jun 11), 1.1041 (Nov 17 2014 high) and 1.1082 (Nov 11 & 12 2014 highs). On the flip side, immediate supports are seen at 1.0765/61 (daily opening price/21-day SMA) and 1.0710 (Jun 10 low).

The kiwi weakened sharply and broadly, losing nearly 250 pips against its Australian peer, after the Reserve Bank of New Zealand unexpectedly decided to cut the official cash rate (OCR) by 25 bps to 3.25% while keeping the doors open to ease monetary policy even further down the road.

(Market News Provided by FXstreet)