NZD/USD tests support after RBNZ 50bp rate cut, sellers maintain control

NZD/USD plunged sharply following the Reserve Bank of New Zealand's aggressive 50-basis point rate cut, though the pair found temporary support at a lower trendline on the hourly chart. The RBNZ's decision, while partially anticipated by markets, triggered a decisive selloff that pushed the pair toward key technical levels. The central bank's dovish stance reflects concerns about New Zealand's economic outlook and inflation trajectory, suggesting potential for further monetary easing. Technical analysis shows sellers remain firmly in control despite the bounce from trendline support, with corrective resistance levels holding steady. The pair faces immediate resistance at recent highs, while support has formed at the tested trendline. Traders should watch for any break below this support level, which could accelerate downside momentum toward the next major support zone. The broader bearish trend remains intact unless buyers can reclaim key resistance levels.