NZD/USD - Profit Booked Ahead RBNZ Meeting - 02/07/2017 (GMT)

The New Zealand dollar rose more than 5.2% in January and got back all of its losses from the previous three months since October. The Reserve Bank of New Zealand has its monetary policy meeting this week and the NZD/USD pair traded higher following the strong rebound on the 0.6860 support barrier.

Going to the daily chart, the price surpassed the 0.7350 resistance barrier and hit our recommended target (see technical analysis here: http://bit.ly/2kibkJi), however now is developing slightly below it. If the price climbs above the 0.7350, it would open the way for a retest of the 0.7400 significant psychological obstacle. Technical indicators seem to endorse the bullish scenario as both are following a positive territory. The RSI indicator is approaching the overbought area whilst the MACD is flattening in the bullish area near its trigger line.