NZD/USD (current price: 0.7135)
The New Zealand Dollar and the Australian Dollar both rallied strongly today in early trading following the RBNZ statement that was also considered hawkish, just as the release of the RBA two days ago. Both central banks continue to see risks, but they are also more optimistic about the economic outlook than previously. The pair rocketed to new 12-month highs, above the April maximum near 0.7050, and the next resistance at 0.72 seems like a perfect target for the coming sessions.
Our assessment: NZD/USD is back into a long-term bullish trend after rising almost 500 pips in less than two weeks, with further upside seen for the pair.
