The NZD/JPY currency pair is sensitive to swings in broad-based market sentiment trends. This pair is responsive to economic news that shapes expectations for Reserve Bank of New Zealand (RBNZ) monetary policy. Next week, Reserve Bank of New Zealand will cut the rate. The rate cut is expected by most of the analysts and priced in.
Investors tend to favor carry trades at times of optimism about global economic performance and they avoid them at times of market stress. According to the 1 hour chart, the NZD/JPY has already risen around 200 pips these days. The price has reached 77.30 and it is above resistance 2.
According to the daily chart, the price is at Fibo 0.61 and it may fall from this level. If the price doesnt fall from this level, it may rise until Fibo 0.76 (79.40).