NZD/USD plummeted on Tuesday as the RBNZ.......>

KIWI: NZD/USD plummeted on Tuesday as the RBNZ indicated that they are looking

afresh at the current unconventional monetary policy strategy. The revision

process was said to be "at a very early stage."

- Once ignited by these headlines in Tuesday's Asia-Pac hours, the downside

momentum remained, with the pair shedding 55 pips on the day. Additional weight

was added by a strengthening greenback, which benefited from the continuous

trimming of bets that the Fed will deliver a 50bps rate cut in July.

- NZD/USD is limited to the downside by the psychological $0.6700 barrier, last

trades almost unchanged at $0.6702. A convincing break under the round figure

would bring the 21-DMA at $0.6693 into view. Further below, a layer of

resistance is provided by $0.6657/56, the 38.2% retracement of the

$0.6939-$0.6482 slide/Jul 2 low. Bulls look for a rebound towards the $0.6724

200-DMA, ahead of the Jul 17 high of $0.6747.

- NZ trade balance, due shortly, concludes the country's data releases for this

week.