NZD/AUD caught the bid on what some felt that the RBA isn’t all that committed to QE, which is incorrect in the opinion of economists at ANZ Bank.
“The move lower overnight to a post-parity low also broke resistance at 0.9670, which makes for a weak technical picture.”
“We think the market has read the RBA a bit wrongly and expect AUD and NZD to both come off, which should commensurately revert this cross to levels near 0.98. Any notion of RBA tapering is very premature.”
“Support 0.9500 Resistance 0.9880”
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