Now I don’t trade the pair but I’ve had a quick look and we’ve broken down through 0.8200 and decent support at 0.8185/90. The move has been held up by the daily 200 ma at 0.8173. The next level of support is down at 0.8150/55. If 0.8200 is re-taken then we may just have a fakeout and a return to pre announcement levels.
You’ve got two choices. Sell an approach close to 0.8200 and look for the move lower to continue or buy on a decent break of 0.8200. In either case keep your stops tight while the market makes it’s mind up. I see the 0.8200 level as the pivot.
Update: The 200 dma is smoked. Next stop 0.8150/55
RBNZ governor Wheeler has directly said that the high dollar was a significant concern to the central bank.
