New Zealand RBNZ Official Cash Rate 01/27/10

3:00pm (NY Time)  RBNZ Rate Decision   Forecast 2.50%    Previous 2.50%
ACTION: NZD/USD        BUY 2.75%     SELL Unchanged

RBNZ is once again expected to keep rates unchanged at the current level of 2.50% in this meeting, as unanimously agreed by all economists surveyed from different news companies.  As a matter of fact, aside from the bullish statement during last RBNZ rate decision from Governor Bollard, there seems to be no other fundamental reasons supporting a rate hike for NZD in the near future.

Therefore, the plan for tomorrow will be to wait for a surprise rate hike and get ready to jump in the market on a LONG NZD/USD trade… If we do not get that surprise rate decision, depending on the possible consolidation that we might see from USD over last week’s risk aversion driven moves, NZD/USD might be at a level where we could take a possible reversal based on “BUY on Rumor SELL on News”… however, I’d wait for RBNZ Bollard’s statement again and see if there are any changes before jumping into a trade.

Related posts:

1. RBA Cash Rate Decision 11/02/09
2. RBA Cash Rate decision 03/01/2010
3. Forex Trade Plan And Video For RBA Cash Rate Decision 08/03/10
4. Trading RBA Cash Rate Decision 06/01/10
5. RBA Cash Rate Decision 02/01/10
6. RBA Cash Rate Decision Trading Plan 07/06/10
7. RBA Cash Rate Decision 04/06/10
8. New Zealand CPI q/q 10/14/09
9. RBA Cash Rate Decision 11/30/09 (Interest Rate Decision)
10. RBA Cash Rate Decision 10/05/09

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