RBNZ Keeps Interest Rate at 5.50%, This Impacts NZD/USD Chart

<p>&nbsp;Price movements on the chart of the NZD/USD currency pair were observed by investors in the Asian trading session this morning during the monetary policy meeting of the central bank of New Zealand.</p><p><br /></p><p>The Reserve Bank of New Zealand (RBNZ) met forecasts to keep interest rates at 5.50% for the latest meeting today.</p><p><br /></p><p>This is the first time the RBNZ has stopped raising interest rates after continuing to raise them at every meeting since October 2021.</p><p><br /></p><p>The initial reaction of the market after the results of the meeting was quite mixed, seeing fluctuations in the value of the New Zealand dollar.</p><p><br /></p><p>The price was initially slightly pushed down near the 0.62000 level before making an increase again reaching a level around 0.62400.</p><p><br /></p><p>After hitting a recent 4-week high, prices returned to bearish trades at the opening of the European session.</p><p><br /></p><p>Price movements are still mixed as investors are also wary of the volatile US dollar currency ahead of the release of United States (US) inflation data in the New York session shortly.</p><p><br /></p><p><br /></p><p>However, at the moment the price is still hovering above the support level of the Moving Average 50 (MA50) on the 1-hour time frame on the NZD/USD chart which suggests the upward trend in prices will continue.</p><p><br /></p><p>If the price resumes rising higher than the height reached in the Asian session just now, the price will continue to record the most recent high level.</p><p><br /></p><p>The next target is to go to the 0.63000 zone which was previously a price tested resistance during last May's trading.</p><p><br /></p><p>However, if the effect of the depreciation of the New Zealand dollar is more significant, the price will drop below the 0.62000 level and pass the MA50 support level at the same time triggering a bearish trend change signal.</p><p><br /></p><p>The price drop will be expected to test the level reached last week around 0.61300 before the price heads to the concentration zone at 0.61000-0.66000.</p>