Bulls set to test 0.6223 near term – UOB Group

The New Zealand Dollar (NZD) is expected to trade in a sideways range between 0.6135 and 0.6180. Overbought advance doesn’t appear to be losing steam yet; NZD could potentially reach June’s high of 0.6223, UOB Group FX analysts Quek Ser Leang and Lee Sue Ann notes.

Expected to trade in a sideways range 0.6135/0.6180

24-HOUR VIEW: “NZD traded between 0.6133 and 0.6178 yesterday, closing unchanged at 0.6156. The price action is likely part of a sideways trading phase. Today, NZD is expected to trade between 0.6135 and 0.6180.”

1-3 WEEKS VIEW: “Yesterday, NZD rose slightly above July’s top of 0.6171, reaching a high of 0.6178. NZD closed unchanged at 0.6156. While the pace of this week’s advance has eased somewhat, the overbought rise doesn’t appear to be losing steam yet. Overall, we expect NZD to continue to rise. The level to watch is June’s high of 0.6223. To keep the momentum going, NZD must not break below 0.6090.”