NZD/USD remains side-lined around 0.6870-0.7000 – UOB

NZD/USD is still seen navigating within the 0.6870-0.7000 range in the next weeks, in opinion of FX Strategists at UOB Group Lee Sue Ann and Quek Ser Leang.

Key Quotes

24-hour view: “Yesterday, we expected NZD to ‘trade in a lower range of 0.6910/0.6975’. NZD subsequently traded between 0.6900 and 0.6967. The underlying tone appears to be a tad soft and there is scope for NZD to edge lower from here. That said, the major support at 0.6870 is not expected to come into the picture (there is another support at 0.6900). Resistance is at 0.6935 followed by 0.6965.”

Next 1-3 weeks: “After NZD surged to 0.7034 and pulled back, we highlighted yesterday (06 Apr, spot at 0.6945) that NZD is not ready to head higher. We added, we continue to expect NZD to trade between 0.6870 and 0.7000. There is no change in our view for now.”