NZD/USD: Expected to trade in a 0.5830/0.5930 range – UOB Group
The New Zealand Dollar (NZD) is likely to trade in a higher range of 0.5860/0.5900. In the longer run, NZD is expected to trade in a 0.5830/0.5930 range, UOB Group’s FX analysts Quek Ser Leang and Lee Sue Ann note.
NZD can test the 0.5830 support near term
24-HOUR VIEW: “Yesterday, we expected NZD to ‘trade in a 0.5830/0.5890 range.’ NZD then traded between 0.5849 and 0.5887, closing at 0.5885. Although the underlying tone appears to have firmed slightly, this is likely to lead to a higher trading range of 0.5860/0.5900 instead of a sustained rise.”
1-3 WEEKS VIEW: “Our update from yesterday (05 Dec, spot at 0.5860) is still valid. As highlighted, although NZD dropped to a low of 0.5830 two days ago, there does not appear to have enough momentum to break clearly below 0.5830.” We continue to hold the view that NZD “is expected to trade in a 05830/0.5930 range.”