Further consolidation seen in NZD/USD – UOB

The research team at UOB Group sees the pair extending its rangebound pattern in the next weeks.

Key Quotes

“While the initial NZD strength held below 0.6870 as expected, the subsequent sharp drop from the high of 0.6864 was unexpected. The down-move appears to have room to extend lower but at this stage, a move below the major support zone of 0.6720/30 is unlikely. Stabilization is only upon a move back above 0.6815”.

“There is not much to add as we continue to hold a neutral NZD view and expect this pair to trade in a broad 0.6720/0.6930 range”.