14 Sep NZDUSD outlook: Bearish pressure persistsNew Zealand Dollar / U.S. DollarFOREXCOM:NZDUSDChartingGenieNZDUSD broke below the ascending trend line and plunged lower. If the price remains below the H1 supply zone at around 0.58881, downside pressure may persist, with potential for a bigger drop toward the swing low at 0.55810. Conversely, a break above 0.58881 may prompt a deeper pullback toward 0.59885. Breaking above 0.59885 would invalidate this bearish trend. The New Zealand dollar (NZDUSD) tumbled as persistent US inflation and resilient US labour market data strengthened expectations for a hawkish Fed, supporting the US dollar. Markets are pricing in more than an 85% probability of a 0.25% Fed rate hike this week, boosting the US dollar and weighing on the pair. Elsewhere, the RBNZ raised its Official Cash Rate (OCR) by 0.25% to 2.75% earlier this month for a second consecutive meeting, but signalled that further tightening would be measured amid growing risks to the economic outlook. Meanwhile, investors are awaiting New Zealand’s 2Q GDP data for fresh clues on domestic economic conditions and the RBNZ’s policy path. The economy is expected to have expanded at a sluggish pace in the second quarter, as higher oil prices weighed on businesses and consumers. This week’s focus remains on New Zealand’s 2Q GDP data and the Fed’s policy decision. A hawkish Fed stance may increase downside pressure on the pair, while weaker domestic growth may further weigh on the New Zealand dollar. By Li Xing Gan, Financial Markets Strategist Consultant to Exness