Next week, the next meeting of the RBNZ will take place, during which, as expected, its interest rate will be raised again, to 1.0%. Thus, the RBNZ is becoming a leader in the process of tightening monetary policy among other major global central banks, and this may become a strong and main driver for the strengthening of the NZD in the next few weeks, although here too much will depend on the current economic situation in the country and in the world.
The bank predicted that the rate would reach a peak of 2.6% by the end of 2023 (the previous forecast of the Central Bank assumed that the rate would reach 2.1% by the beginning of 2024). Still, the forecast turned out to be weaker than the market expectations reflected in the quotes, amid various risks and uncertainty in the economic outlook.
The zone of levels 0.6700 and 0.6730 is a fairly strong resistance zone, for the breakdown of which and further growth, the NZD/USD pair will need solid grounds and fairly strong drivers. Until Wednesday, when the RBNZ meeting takes place, they are unlikely to appear, unless, of course, sellers of the US dollar want to lower its quotes in the thin market on Monday, when US banks and exchanges will be closed on the occasion of Presidents Day.
In this case, and after the RBNZ meeting on Wednesday, the NZD/USD has the prospect of growth towards the key resistance levels of 0.6865, 0.6890.
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