NZD/USD: Likely to consolidate in a range of 0.5935/0.5975 – UOB Group

Source Fxstreet

New Zealand Dollar (NZD) is likely to consolidate in a range of 0.5935/0.5975 against US Dollar (USD). In the longer run, NZD could continue to weaken, but it may consolidate first before heading lower toward 0.5920, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

NZD may continue to weaken

24-HOUR VIEW: "When NZD was at 0.5975 in the early Asian session yesterday, we pointed out that 'downward momentum is increasing, and NZD could test the support at 0.5950.' However, we indicated that 'a sustained break below 0.5950 appears unlikely.' The expected decline exceeded our expectation as NZD dropped to a low of 0.5939 before rebounding. The rebound in oversold conditions suggests that instead of continuing to weaken, NZD is more likely to consolidate today, probably in a range of 0.5935/0.5975."

1-3 WEEKS VIEW: "We have held the same view since early last week (08 Jul, spot at 0.6015), in which we stated that 'the price action indicates that further NZD weakness is likely, and the level to watch is 0.5950.' Yesterday, NZD finally breached 0.5950, as it dropped to a low of 0.5939. While we continue to expect NZD to weaken, it may consolidate first before heading toward 0.5920. We will maintain our negative NZD view as long as it holds below 0.6005 (‘strong resistance’ level previously at 0.6030)."

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
Gold price advances to $3,335 area; lacks bullish conviction amid reduced Fed rate cut betsGold price (XAU/USD) edges higher during the Asian session on Wednesday and reverses a part of the overnight downfall to a multi-day low, though it lacks follow-through buying.
Author  FXStreet
13 hours ago
Gold price (XAU/USD) edges higher during the Asian session on Wednesday and reverses a part of the overnight downfall to a multi-day low, though it lacks follow-through buying.
placeholder
EUR/USD rebounds from 1.1600 despite market caution ahead of US PPI dataEUR/USD halts its five-day losing streak, trading around 1.1610 during the Asian hours on Wednesday. The pair appreciates despite the stable US Dollar (USD), driven by traders’ caution ahead of the upcoming US Producer Price Index (PPI) later on Wednesday.
Author  FXStreet
13 hours ago
EUR/USD halts its five-day losing streak, trading around 1.1610 during the Asian hours on Wednesday. The pair appreciates despite the stable US Dollar (USD), driven by traders’ caution ahead of the upcoming US Producer Price Index (PPI) later on Wednesday.
placeholder
XRP Price Eyes Fresh Gains: Traders Bullish After Momentum SpikeXRP price started a fresh increase and traded above the $3.00 zone. The price is now correcting gains and might find bids near the $2.840 support zone. XRP price started a fresh increase above the
Author  NewsBTC
13 hours ago
XRP price started a fresh increase and traded above the $3.00 zone. The price is now correcting gains and might find bids near the $2.840 support zone. XRP price started a fresh increase above the
placeholder
Bitcoin Profit-Taking Spikes Without Price Drop – Strong Demand Or Delayed Reaction?Bitcoin’s (BTC) on-chain activity has accelerated over the past few days, with the leading cryptocurrency by market cap hitting successive new all-time highs (ATHs). As a result, several metrics
Author  NewsBTC
13 hours ago
Bitcoin’s (BTC) on-chain activity has accelerated over the past few days, with the leading cryptocurrency by market cap hitting successive new all-time highs (ATHs). As a result, several metrics
placeholder
AUD/JPY sticks to gains above 97.00, close to multi-month high set on TuesdayThe AUD/JPY cross attracts fresh buyers during the Asian session on Wednesday and steadily climbs back closer to its highest level since late January touched the previous day.
Author  FXStreet
13 hours ago
The AUD/JPY cross attracts fresh buyers during the Asian session on Wednesday and steadily climbs back closer to its highest level since late January touched the previous day.
Related Instrument
goTop
quote