NZD/USD holding on to the neutral stance – UOB

In view of strategists at UOB Group, NZD/USD is seen extending its consolidative theme for the next 1-3 weeks.

Key Quotes

“As noted yesterday, any extension higher in NZD is expected to struggle near the major 0.7045/50 resistance. NZD touched a high of 0.7048 before dropping sharply to hit an overnight low of 0.6959. Despite the sharp decline, the current movement is viewed as part of a broader consolidation phase and further sustained down-move is not expected”.

“While upward momentum has improved, it is too early to expect a sustained up-move as 0.7055 is a very strong resistance and this level is unlikely to yield so easily. Overall, we prefer to hold a neutral stance for now even though the short-term bias is tilted to the upside (as long as 0.6950 is intact)”.

 

1 Week
Avg Forecast 0.6968
100.0%86.0%29.0%0304050607080901000
  • 29% Bullish
  • 57% Bearish
  • 14% Sideways
Bias Bearish
1 Month
Avg Forecast 0.6927
100.0%82.0%27.0%020304050607080901000
  • 27% Bullish
  • 55% Bearish
  • 18% Sideways
Bias Bearish
1 Quarter
Avg Forecast 0.6799
100.0%67.0%7.0%001020304050607080901000
  • 7% Bullish
  • 60% Bearish
  • 33% Sideways
Bias Bearish