NZD/USD remains side-lined for the time being and it is likely to navigate within the 0.6375-0.6485 range, noted FX Strategists at UOB Group.
24-hour view: “NZD traded sideways between 0.6421 and 0.6455, relatively close to our expected range of 0.6425/0.6460. The price action is still viewed as part of a consolidation phase and NZD is likely to continue to trade sideways. Expected range for today, 0.6420/0.6460.”
Next 1-3 weeks: “After surging to a high of 0.6487, NZD has not been able to make much headway on the upside. We highlighted last Wednesday (12 Feb, spot at 0.6445) that while Tuesday’s low of 0.6378 is deemed as a short-term bottom, any NZD strength is viewed as ‘a correction and is unlikely to break the solid 0.6525 resistance’. The relatively quiet price actions over the past few days suggest that instead of staging a stronger rebound, NZD has likely lapsed into a consolidation phase. To put it another way, NZD is likely to trade sideways between the major level of 0.6375 and 0.6485 for now.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.