NZD/USD neutral, likely between 0.6950 and 0.7090 – UOB

FX Strategists at UOB Group reiterated the Kiwi Dollar’s outlook remains neutral vs. the buck, with NZD/USD expected to navigate the 0.6950/0.7090 range in the near term.

Key Quotes

“NZD traded sideways as expected albeit at a much narrower range than anticipated (between 0.7024 and 0.7054). Downward momentum is showing sign of picking up and the intraday bias is tilted to the downside but any decline is expected to encounter solid support at 0.7000. The high near 0.7055 is a strong resistance ahead of 0.7070”.

“As highlighted yesterday, NZD has likely made a short-term top at 0.7090 earlier this week. The current price action is viewed as part of a consolidation phase that could last for several days. Overall, expect sideway trading from here, likely between 0.6950 and 0.7090”.