NZD/USD: 0.6005 is likely within reach – UOB Group

The New Zealand Dollar (NZD) is expected to trade in a range between 0.6020 and 0.6060. In the longer run, price action indicates that 0.6005 is likely within reach; the next level to watch below 0.6005 is 0.5985, UOB Group’s FX analysts Quek Ser Leang and Lee Sue Ann note.

The next level to watch below 0.6005 is 0.5985

24-HOUR VIEW: “Our view for NZD to ‘continue to decline’ yesterday was incorrect. Instead of declining, it rebounded to 0.6060 before closing at 0.6041 (+0.18%). The current price movements are likely part of a range trading phase. Today, we expect NZD to trade between 0.6020 and 0.6060.”

1-3 WEEKS VIEW: “We continue to hold the same view as yesterday (22 Oct, spot at 0.6030). As highlighted, ‘the recent price action indicates that 0.6005 is within reach.’ Looking ahead, the next level to watch below 0.6005 is 0.5985. On the upside, if NZD breaks above 0.6085, it would mean that the weakness that started early this month has stabilised.”