12 Aug 2015
NZD/USD: sell on strength – JPM Asia
FXStreet (Edinburgh) - Analyst James Struik at JP Morgan Asia sees the area around 0.6630 as a good opportunity to sell the pair.
Key Quotes
“Holds in rather well post the PBOC action likely due to a combination of an already short market and NZs lack of hard commodity exports”.
“That said NZ is not immune to a regional slowdown and if we do enter a genuine state of risk aversion the NZD will revert to its EM status and take an absolute beating”.
“Not there yet but don’t be lulled in a false sense of security by the current lack of volatility”.
“A break of 0.6490 opens a sharp move lower. Levels to sell initially 0.6630 and beyond here resistance seen 0.6750”.
Key Quotes
“Holds in rather well post the PBOC action likely due to a combination of an already short market and NZs lack of hard commodity exports”.
“That said NZ is not immune to a regional slowdown and if we do enter a genuine state of risk aversion the NZD will revert to its EM status and take an absolute beating”.
“Not there yet but don’t be lulled in a false sense of security by the current lack of volatility”.
“A break of 0.6490 opens a sharp move lower. Levels to sell initially 0.6630 and beyond here resistance seen 0.6750”.