NZD/USD rebonds to 0.7200 from 1-week lows

NZD/USD is falling sharply on Thursday but it trimmed losses during the last hours. The pair bottomed at 0.7174, hitting the lowest level since July 7 and then bounced to the upside, rising back above 0.7200.

Currently it trades at 0.7205, down 1.0% for the day, but is off daily lows. The kiwi is among the worst performers in the currency market on Thursday. It weakened during the Asian session after the Reserve Bank of New Zealand (RBNZ) said it will issue an update of the assessment of the economy on July 21, unscheduled.

The announcement pushed the kiwi sharply lower in the market amid increasing speculations about a rate cut from the RBNZ.

NZD/USD technical levels

To the upside, resistance levels might be located at 0.7210/15 (American session high), 0.7245 (European session high) and 0.7290 (daily high). On the opposite direction, support could be seen at 0.7175 (daily low), 0.7160 (20-day moving average) and 0.7085 (June 28 high).