NZD/USD upside could test 0.7485 – UOB

Pablo Piovano FXStreet

In opinion of the research team at UOB Group, NZD/USD could extend its bullish momentum to the 0.7480 area in the next weeks.

Key Quotes

“NZD spiked to a high of 0.7378 in late-NY but the subsequent rapid pull-back suggests limited upside risk for today. A retest of 0.7375/80 would not be surprising but 0.7410 is expected to hold for NZD to move back lower towards 0.7315/20”.

“The rebound from last week’s 0.7235 low has been more robust and resilient than expected. While the near-term outlook is deemed as neutral, the current recovery could extend higher to test the 0.7485 high seen earlier this month (0.7410 is acting as a strong intervening resistance). At this stage, a sustained move above this level appears unlikely”.

“Overall, the current positive undertone for NZD is intact unless there is a move back below 0.7280 within the next few days”.

1. R3 0.7475
2. R2 0.7421
3. R1 0.7386
PP 0.7332
1. S1 0.7297
2. S2 0.7243
3. S3 0.7208

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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