NZD/USD clings to the 0.6920-0.7050 range so far – UOB

Pablo Piovano FXStreet

In light of the recent price action in NZD/USD, FX Strategists at UOB Group expect further consolidation between 0.6920 and 0.7050.

Key Quotes

24-hour view: “While we expected NZD to strengthen yesterday, we were of the view that ‘it is unlikely to challenge the major resistance at 0.7030’. However, NZD surged to a high of 0.7043. The rapid advance appears to be overdone and NZD is unlikely to strengthen further. For today, NZD is likely to take a breather and trade between 0.7000 and 0.7050.”

Next 1-3 weeks: “There is not much to add to our update from yesterday (14 Jul, spot at 0.6990). As highlighted, the recent sharp but short-lived swings have resulted in a mixed outlook and NZD could trade between 0.6920 and 0.7050 for now. That said, after the rapid rise yesterday, a breach of 0.7050 would not be surprising but NZD has to close above 0.7080 before a sustained advance can be expected.”

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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