NZD/USD should keep the consolidation theme unchanged between 0.6140 and 0.6285 for the time being, suggest Markets Strategist Quek Ser Leang and Senior FX Strategist Peter Chia at UOB Group.
Key Quotes
24-Hour View: “We highlighted yesterday that the NZD could decline further to 0.6180 before stabilizing. We added, ‘Key support at 0.6140 is not expected to come under threat’. Our view was not wrong as NZD fell to 0.6162 and then closed at 0.6182 (0.46%). NZD’s weakness appears to have stabilised. In other words, instead of falling further, NZD is more likely to trade in a range, which could be between 0.6170/0.6215.”
Next 1-3 weeks: “Our update from yesterday (April 17, spot at 0.6210) is still valid. As highlighted, the recent choppy swing has led to a mixed view with NZD likely to trade in the 0.6140/0.6285 range for now.”
