NZD/USD set to test the 0.62 level – Westpac
|NZD/USD broke below a two-week-old contracting range. The kiwi now targets 0.62, economists at Westpac report.
Potential for the NZD to rebound towards 0.68 by end-2022
“Potential for further weakness during the month ahead, 0.62 likely to be tested. If that broke, we’d then target the 0.60 area, which was an area of much congestion in early 2020.”
“The main drivers of NZD/USD at present are global risk sentiment (proxied by equity prices, for example) and the US dollar (in turn driven by both risk sentiment and yield spreads).”
“During the month ahead, the direction of risk sentiment will be key. But much further ahead, by year-end, assuming sentiment stabilises, there is potential for the NZD to rebound towards 0.68.”
See – NZD/USD: Move lower looks ominous from a technical perspective – ANZ
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.