NZD/USD Lower Ahead of RBNZ Decision Wednesday

NZD is the worst of the G10 currencies as the week gets underway. A pull-back wasn't unexpected given the size of the move last week, and as we head into the RBNZ rate decision later this week traders are understandably cautious.

• NZD/USD is down 0.45%, after earlier breaking below the 0.6180 area which had held as support late last week. If the pair is unable to trade back above, a further move lower heading into the RBNZ decision on Wednesday could be on the cards.
• Key levels to watch, spot currently hovers around 0.6170 just below initial support at 0.6174 (Highs from Jan 1), a hold below here opens a move to 0.6150/60 (highs from Jan 9/Jan 2) and further below to 0.6130 (lows Feb 20). To the upside, initial resistance is 0.6218 (Feb 22 highs) and break above opens a move to 0.6260 (Jan 11 Highs).
• Leveraged kiwi longs now sit at the highest since August 2023