NZD/IDR Under Selling Pressure Despite RBNZ Rate Hike

The Reserve Bank of New Zealand (RBNZ) increased its Official Cash Rate by 25 basis points to 2.75% to address inflation and support economic stability.

This move did not produce a significant currency move, as higher yields for the New Zealand dollar appear to have been mostly priced in.

The NZD/IDR pair remains under broad selling pressure with bearish momentum dominant.

A technical analysis suggests that the pair will trade between Rp10,285 and Rp10,435 in the coming days, with a 77% chance of continued downside and only a 23% chance of an upward reversal.