NZD/USD rangebound theme unchanged – UOB

FX Strategists at UOB Group sees NZD/USD keeping its neutral stance unchanged in the next 1-3 weeks.

Key Quotes

“The 0.7161 high registered yesterday was just below last week’s peak at 0.7170. The rapid pull-back from the high suggests that upward pressure has eased and NZD has likely moved into a consolidation phase”.

“Similar to AUD/USD, while short-term momentum has improved, the current NZD strength does not appear to be the start of sustained rally. Overall, the neutral consolidation phase is still intact even though this pair is expected to trade at a higher 0.7050/0.7200 range instead of the 0.7000/0.7050 expected previously”.