Hawkish RBNZ meeting buoys NZDUSD

The Reserve Bank of New Zealand (RBNZ) has warned about high domestic inflation despite having one of the highest interest rates among major central banks. The committee discussed raising rates but acknowledged that the economy can't handle it. As a result, markets have postponed expectations of a rate cut to November.

The NZD/USD has been steadily rising since April, even after breaking above the longer-term trendline resistance. While the Kiwi dollar is approaching overbought conditions, there is still potential for short-term gains. The next major resistance level is at 0.6200, but first, a test of yesterday's high at 0.6152 is needed. If there is a pullback, prices could settle around the 0.6050 level, which aligns with the 200 SMA.